France gets fourth government in a year amid potential tussle over new budget

French President Emmanuel Macron assembled a new government under Francois Bayrou, his fourth prime minister of the year, on Monday evening. He appointed a cabinet to drag the second-largest EU economy out of a political crisis over budget proposals.

Eric Lombard, a finance professional, was appointed finance minister. He is tasked with delivering the country’s next budget after the previous government collapsed over contentious budget proposals of €60 billion ($62.9 billion) worth of tax increases and spending cuts. The country has been running without passing a formal budget since.

Lombard will aim to quickly pass the 2025 budget and survive the test of a no-confidence motion by the opposition. Finding support for the new budget is expected to be difficult as Macron’s party lawmakers are in the minority in the National Assembly.

Former prime minister Elisabeth Borne, 63, was appointed the education minister in the new cabinet.

Manuel Valls (62), also a former prime minister, returned as overseas territories minister, while former interior minister Gerald Darmanin was appointed justice minister.

Macron decided to retain Defence Minister Sebastien Lecornu and Foreign Minister Jean-Noel Barrot for their current assignment.

Interior Minister Bruno Retailleau, a conservative who has promised to crack down on illegal immigration, and right-wing Culture Minister Rachida Dati also retained their ministries.

Bayrou expressed confidence in delivering the budget by mid-February after consulting various groups and stakeholders. The first meeting of the cabinet will be on January 3, and the prime minister will lay out a policy agenda to the National Assembly on January 14.

“I believe the path exists — maybe it’s mad optimism — but I can tell you with certainty that if we don’t succeed in this attempt, it’s the last stop before the cliff edge,” Bayrou said in an interview with France 2 television on Thursday.

(With inputs from AFP)