French Prime Minister Plans Holiday Cuts, Spending Freeze to Reduce National Debt

French Prime Minister François Bayrou has announced a stringent budget plan aimed at reducing France's soaring national debt, which currently stands at 114% of GDP. The plan includes scrapping two public holidays, Easter Monday and May 8, freezing public spending on pensions, healthcare, and social benefits at 2025 levels, and increasing the defense budget by billions to address rising global tensions. Bayrou warned of the risk of a sovereign debt crisis akin to Greece's if public debt growth and productivity are not curtailed. The government aims to cut the budget deficit from an estimated 5.4% in 2025 to 4.6% in 2026, targeting the EU-mandated ceiling of 3% by 2029. These austerity measures face opposition from both left-wing and far-right politicians and may lead to political instability, including potential no-confidence motions, as the government lacks a clear majority in parliament. Bayrou emphasized the urgency of the situation, describing France's reliance on borrowing to pay pensions and civil servants as a "curse with no way out".