France’s fragile executive has fallen again as Prime Minister François Bayrou lost a confidence motion in the National Assembly, securing just 194 votes in favour against 364 opposed, prompting his resignation and deepening a political impasse in President Emmanuel Macron’s second term. The vote took place as Bayrou sought parliamentary backing for a strict austerity budget intended to rein in soaring public debt. France’s public debt now stands at approximately 114 percent of GDP. With his centrist coalition lacking a majority, Bayrou’s proposal failed to win support across a fractured Assembly. The defeat follows a string of government collapses since the June 2024 snap election, which delivered a hung parliament and empowered both the far-left and far-right. Bayrou’s appointment in December 2024 had been seen as a bid to restore fiscal stability amid mounting concerns from financial markets and ratings agencies. His fall comes nine months later without any breakthrough reforms. Macron now faces the challenge of nominating a fifth prime minister in less than two years. Political groups from across the spectrum joined forces to reject Bayrou’s budget and broader economic approach. The left-wing New Popular Front, Marine Le Pen’s National Rally, and even several centrist MPs withheld support for the prime minister. Macron’s earlier strategy of dissolving the Assembly backfired. The election in June 2024 strengthened opposition blocs and weakened his own alliance, leaving no clear majority or stable coalition. A fresh election is seen as politically risky, as it could further embolden the opposition. This latest collapse highlights the difficulties of passing unpopular fiscal reforms in an unstable legislature. In December 2024, Michel Barnier’s government also collapsed after a failed vote. Key structural issues remain unresolved, while the cycle of short-lived governments continues. International observers are watching closely. France’s ability to maintain economic credibility, secure market confidence, and handle foreign policy challenges depends on the formation of a stable new government. Rising bond yields and inflationary pressures are mounting concerns....