France found itself in a new crisis on Tuesday, as Prime Minister Francois Bayrou's attempt to win support for his deeply unpopular debt reduction plan backfired, plunging the country further into political and financial instability.
French markets sank after Bajru surprised the political establishment on Monday with an unexpected move to seek a vote of confidence on September 8 over his debt reduction plan.
His proposal was strongly rejected by opposition parties, who said they would gladly take the opportunity to shorten the term of his minority government.
In a symbolic moment that highlighted his plight, Bajru tripped and nearly fell as he took to the stage on Tuesday for his first public performance since last night.
He said lawmakers now had to choose between "chaos" and "responsibility" and urged the French to put pressure on their representatives to make a sensible decision before September 8th.
"I'm not asking anyone to change their mind, but everyone can think about it," Bajru later told reporters.
If Bayrou falls, French President Emmanuel Macron could dissolve parliament and hold new elections — a move he has previously ruled out — or appoint a new government. But neither option is likely to solve France's budget problems or political gridlock.
A source in a key ministry said they expect Macron to decide on a new prime minister.
"The French prime minister's decision to call an early vote of confidence will most likely trigger his replacement with another prime minister or (less likely) new parliamentary elections," analysts at Kapital Economics wrote.
"In any case, France's budget deficit will remain well above the level needed to stabilize the debt ratio," they added.
Interior Minister Bruno Reteljo, who leads the conservative Republicans, said it would be "irresponsible" and "against the interests of France" to vote for the government to fall.
Others, however, disagree.
The far-right National Rally, led by Marine Le Pen, has said it wants Macron to call early parliamentary elections.
The Socialists, whose vote will be crucial, also said they would vote against Bajru.
"We need a different prime minister and, above all, different politics," wrote leading socialist MP Boris Valo on the Iks website.
The vote of confidence will be held two days before protests called by various groups on social media and supported by left-wing parties and some unions, reminiscent of the Yellow Vest riots that broke out in 2018 over rising fuel prices and the cost of living.
A source close to Bayrou said his government was open to negotiations on the details of his budget proposals, although they were adamant that budget cuts were necessary.
The prime minister said on Tuesday he would ask high-income taxpayers to make a special effort to help curb the deficit.
Bajru knew that a no-confidence motion would eventually be filed over the budget and decided to preempt the opposition, the source said.
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