French 10-year bond yields hit 5%, highest since 2002, amid budget impasse and unrest
Briefing by News4U · First published
Yields on French government bonds rose above 5% for the first time in 24 years as political deadlock and violent protests spook markets.
The yield on France’s benchmark 10-year government bond rose more than 8 basis points to 5% in morning trading before easing to 4.99%, the highest level since 2002. [1] [2]
Markets reacted to the government’s failure to pass a 2027 budget and to weeks of violent street protests that began over school conditions and the cost of living. [2]
France’s deficit stood at 5.1% of GDP in 2025 and debt at 115.6% of GDP; both are forecast to rise without remedial action. [2]
Sources
- French Yields Hit 5%, Highest Since 2002, as Risk Gauge Climbs
Bloomberg · · Summary only
- French borrowing costs hit 24-year high as civil unrest and budget fears spook markets
The Guardian Business · · Full text