Public finances: the deficit overshoot in 2026 officially confirmed

The French Minister of Economy and Finance, Roland Lescure, acknowledged the difficulty of reducing the public deficit to 5% of GDP by 2026. The deficit is projected to reach 5.4% this year, as confirmed in the 2026 finance bill presented on November 4. The state budget deficit is expected to be €135.5 billion in 2026, up from €124.2 billion in 2025. This deterioration is attributed to increased general budget expenditures, driven by rising debt burdens and responses to crises, including the energy crisis.