what will be the impact on the French

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Without a budget for the new year, Parliament is preparing to adopt a special law. One objective: to ensure the continuity of the State and avoid paralysis of the country. On the morning of Monday, December 22, there are those who are reassured by this: “Yes, it’s reassuring because all the budgets at the state level will be financed there. But after that, for the rest of the year, we don’t know at all. There is no other solution since we can no longer do 49.3. Therefore, this is the only possible solution“. And those who are still sorry: “We don’t have a projection for the year 2026, which is a little troubling. So it would be good if they could agree“. In detail, this text allows the State to provide the minimum service, raise taxes, borrow on the markets or even pay civil servants. And the government wants to move quickly. The Prime Minister meets this Monday, December 22 with the different political forces. A Council of Ministers must be held at the end of the day before submitting the text to parliamentarians for a vote tomorrow.

A temporary solution, because without a real budget, the consequences could be significant for our economy.“This will pose serious problems, both on questions of budgetary arbitration, political choices, including on defense, on taxation, on the renovation bonus, on a certain number of important elements for the French economy. And then, for once, the uncertainty, the unknown will increase and therefore with consequences which can be strong, in particular on the markets, on the investors, who can worry“, indicates Mathieu Plane, deputy director of the analysis and forecasting department of the OFCDE. New discussions are planned for the start of the school year. The government wants the adoption of a real finance law before the end of January.