French parliament avoids government shutdown by passing special budget rollover bill

NEWS WIRES
·1-min read
This photograph shows a general view during a session to vote on the special budget draft law at the National Assembly in Paris on December 16, 2024.

French MPs on Monday voted unanimously in favour of a bill allowing the government to maintain core state functions in the absence of a budget for 2025. The law will be taken up by the Senate on Wednesday. Meanwhile, new Prime Minister François Bayrou held talks with political parties in view of moving France out of its political impasse.

France’s National Assembly, the lower house of parliament, on Monday approved a special law designed to maintain core state functions and prevent any interruption of public services, three days after President Emmanuel Macron named François Bayrou as his fourth prime minister of 2024.

The French constitution allows for a special law to be passed in parliament that rolls over the tax-raising and spending provisions in the current budget to ensure there is no US-style government shutdown in the absence of a proper budget bill.

The law is intended to act as a stopgap until France’s deeply divided parliament passes next year’s proper budget bill drafted by the new Bayrou government, most likely in early 2025.

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The Senate, the upper house of the Parliament, will examine the law on Wednesday. It must be enacted before December 31 to ensure uninterrupted public services.

(Reuters)


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Read also:
Moody's downgrades France credit rating over 'political fragmentation'
Reducing France's debt is 'moral obligation', says new French PM François Bayrou

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