Budget
Assembly adopts multinational tax against government wishes
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During the 2026 budget review, French National Assembly deputies adopted an LFI amendment Tuesday evening to tax profits actually realized by multinationals in France, estimated at 26 billion euros by supporters. Backed by a left-RN alliance, it follows the doubling of the GAFA tax from 3% to 6%, despite strong government opposition decrying fiscal overbidding. These votes could yield over 20 billion euros for the state but may be overturned in the Senate.
French assembly debates 2026 budget amid fiscal tensions
The French National Assembly continues debates on the 2026 finance bill, slowed by numerous amendments and divisions over tax increases. A poll shows 64% of French people expect the budget's rejection, fearing government censure more than the president's resignation. Sébastien Lecornu's government sticks to not using Article 49.3, leaving it two months to secure a majority.
Nigerian house approves tinubu's external borrowing request for 2025 budget
October 28, 2025 12:04Government opposes Zucman tax on high patrimonies
October 28, 2025 11:50Deputies adopt several amendments to PLFSS 2026 in commission
October 25, 2025 00:34Assembly debates fair distribution of efforts for 2026 budget
French assembly starts debates on 2026 social security budget
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French lawmakers began examining the 2026 social security financing bill on October 27, 2025, amid tensions over suspending the pension reform and drastic savings measures. A government amendment increasing the surtax on large companies was adopted, while the Zucman tax debate was postponed. Discussions are set to be contentious with a projected deficit of 17.5 billion euros.
Milei meets 20 governors to advance reforms
President Javier Milei met with 20 governors at Casa Rosada on Thursday to discuss the 2026 Budget and labor, tax, and penal reforms. The meeting, deemed positive by the government, aims to build consensus for the new Congress. Four Peronist governors were excluded from the summit.
Moody's maintains France's rating but lowers outlook to negative
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On October 24, 2025, Moody's announced it was keeping France's sovereign rating at Aa3 but downgrading the outlook from stable to negative, citing heightened risks from political instability. This contrasts with recent downgrades by Fitch and S&P to A+. The move comes as the National Assembly reviews the 2026 budget and extends the contribution on high incomes.
Opposition rejects nearly all 2026 budget items
The opposition in Chile's Special Mixed Budget Commission rejected nearly all 2026 budget items on Wednesday, in an unprecedented move to force negotiations with the government. The rejection impacts key funding for ministries including Health, Education, and Housing, drawing criticism from officialists who call it election-driven. Discussions will resume in November after elections.
Adoption of 2026 budget in National Assembly increasingly uncertain
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After several days of intense debates in the National Assembly, the 2026 finance bill increasingly resembles a 'Frankenstein' budget, a patchwork of contradictory amendments complicating its final adoption. The executive, avoiding Article 49.3, faces strong opposition on measures like the surtax on multinationals and limits on sick leave. Lawmakers from all sides have adopted or suppressed key provisions, raising the risk of overall rejection.
Deputies double GAFAM tax for 2026 budget
French National Assembly deputies voted on Tuesday, October 28, 2025, to double the GAFAM tax rate from 3% to 6%, targeting big tech companies. Despite government opposition fearing retaliation from the Trump administration, a compromise was adopted following an initial more ambitious proposal. Left-wing lawmakers denounce it as a retreat under American pressure.
French doubt success of Lecornu's 2026 budget
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A poll reveals that 52% of French people anticipate the failure of the 2026 finance bill and want a censure motion against the Lecornu government. The finance commission rejected the first part of the budget, and debates in the National Assembly begin this Friday without using article 49.3. Oppositions, like the RN and socialists, threaten to block the bill with their counter-proposals.
Socialists threaten to censure government over 2026 budget
On the eve of the budget debate in the National Assembly, the Socialist Party (PS) issued an ultimatum to the government: advances on fiscal justice by Monday, or face a motion of censure. Olivier Faure, the PS first secretary, criticized the lack of measures against the ultra-rich and Gafam. The government's fate now hinges on concessions from the majority.
Assembly rejects income tax freeze in 2026 budget
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During the review of the 2026 budget at the National Assembly on Saturday, October 25, deputies rejected the government's proposed freeze on the income tax scale, choosing instead to index it on inflation. This decision, backed by a broad coalition, deprives the state of 2 billion euros in revenue and affects 200,000 households. Meanwhile, amendments defiscalizing overtime hours and child support payments were adopted, as debates on the Zucman tax drag on.
France's pension reform suspension sparks political debate
France has suspended its pension reform, a move criticized as a major economic renouncement. Editorials highlight that this decision, tied to the 2026 budget, sacrifices younger generations for short-term political calculations. Comparisons with Portugal, Italy, and Argentina spotlight bolder choices elsewhere.
Officialism warns of budget veto without fiscal balance
Following legislative elections, Argentina's officialism warned the opposition it will veto the 2026 Budget if it fails to ensure fiscal balance. Chamber of Deputies President Martín Menem stressed the need for rationality to avoid political chaos. The government aims to delay the debate until new legislators take office on December 10.
2026 budget debate stalls over Zucman tax and pension reform suspension
Debates on the 2026 finance bill at the National Assembly drag on without addressing high patrimony taxation, as the pension reform suspension begins scrutiny in committee. Socialists, led by Olivier Faure, threaten a censure motion if no fiscal justice concessions are made. The right firmly opposes the pension suspension, vowing to restore it.
Portugal shows the way to debt-burdened France
After a deep crisis in the 2010s, Portugal is set to post a budget surplus for the second consecutive year in 2025. This success contrasts with France's financial struggles, where the government watches with interest. Former Portuguese Finance Minister Mario Centeno shares advice on public finance restructuring.
Government rejects socialists' Zucman tax proposal
Socialists threaten to censure the budget unless taxation on the wealthiest is agreed upon. Their Zucman tax proposal, a 2% levy on wealth over 100 million euros, has been rejected by the government. Examination of this budget section is set for Wednesday at the National Assembly.