France’s Prime Minister Sébastien Lecornu is racing to finalise a cabinet and pass the 2026 budget after returning to power just days after resigning, in what has become the most unstable political chapter of Emmanuel Macron’s presidency. Sébastien Lecornu has been reappointed as Prime Minister of France after his brief resignation last week, returning to office under mounting political and economic pressure. His first government collapsed after less than a month, forcing President Emmanuel Macron to recall him to lead a new cabinet tasked with delivering the 2026 budget. Lecornu’s second cabinet, announced on Sunday, keeps several key ministers in place while making strategic changes in security and defence. Roland Lescure remains at Finance, Jean-Noël Barrot continues at Foreign Affairs, and Gérald Darmanin stays on as Justice Minister. Catherine Vautrin takes over the Defence portfolio, while Laurent Nuñez, former head of the Paris police, replaces Bruno Retailleau at the Interior Ministry. The reshuffle aims to stabilise a government still facing parliamentary paralysis. The new administration has only days to submit the draft budget to meet constitutional deadlines. The Finance Ministry is expected to finalise spending proposals by midweek, a process complicated by political gridlock and economic headwinds. Failure to present the budget on time could trigger a constitutional confrontation and further damage investor confidence. The National Assembly remains deeply divided, with no single party holding a majority. The far-left France Unbowed has pledged to table a no-confidence motion, while the far right has indicated it may follow. The Socialist bloc has yet to confirm whether it will support the motion, leaving Lecornu dependent on centrist abstentions or ad-hoc alliances to survive the week. Markets reacted nervously to the ongoing turmoil. French bond yields rose as investors weighed the risk of renewed political instability and fiscal uncertainty. Economists warned that another collapse could hinder France’s ability to meet its deficit reduction targets and strain relations with the European Commission, which has urged Paris to maintain fiscal discipline. Lecornu’s appointment makes him Macron’s fifth prime minister since 2017. His return was backed by senior presidential advisers who view him as a steady figure capable of navigating the National Assembly’s fractured landscape. The coming days will determine whether he can secure enough support to pass the budget or face yet another rapid fall from office....