The international rating agency Moody’s Ratings has changed its outlook on France's long-term ratings from "stable" to "negative," while the ratings themselves remain at "Aa3," reports RIA Novosti.
According to the agency, the reason for this decision lies in the increasing fragmentation of the country's political landscape, which may reduce the effectiveness of legislative bodies. Analysts believe that political instability will complicate the resolution of key economic issues, such as reducing the budget deficit, stabilizing the rising national debt, and controlling loan expenditures.
Moody’s warns that these factors could worsen the country's financial indicators more quickly than expected. Additionally, there is a threat of revising or canceling important reforms, including the pension reform adopted in 2023.
The maintenance of the "Aa3" rating indicates a high level of economic resilience in France. The agency notes that a diversified and wealthy economy, stable financial conditions for households and businesses, as well as a reliable banking sector contribute to macroeconomic stability and allow the country to withstand external shocks.
Earlier, other international rating agencies also changed their assessments: Fitch Ratings downgraded France's rating in September, while S&P Global Ratings did so in October 2025.
Amid economic difficulties in the country, political instability is observed. Prime Minister Sébastien Lecornu, who resigned 27 days after his appointment, resumed his position on October 10. He expressed his intention to create a "more free" government, independent from party structures. The new composition of the cabinet was presented on October 12.
President Emmanuel Macron does not rule out the possibility of holding a referendum on pension reform, believing that the issue cannot be resolved through compromise in the budget discussion process. At the same time, opposition parties, including the Socialists, have threatened a new vote of no confidence if the government does not amend the budget proposal.
