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French Government Negotiates Pension Reform Suspension to Avert No-Confidence Vote

Economic Minister Éric Lombard leads talks with left-wing parties over pensions and budget, seeking compromise before Prime Minister Bayrou's policy declaration.

  • The French government is negotiating with socialist, ecologist, and communist parties to prevent a no-confidence vote following Prime Minister François Bayrou's upcoming policy declaration on January 14.
  • Key discussions center on potentially suspending the pension reform that raises the retirement age from 62 to 64, with socialists proposing a six-month renegotiation period.
  • Economic Minister Éric Lombard has emphasized the constructive tone of the talks but acknowledged challenges, with some parties expressing frustration over stalled progress.
  • Budgetary concerns remain significant, as the government seeks to balance pension reform costs with a broader fiscal effort of €50 billion, while exploring measures like taxing high-value assets.
  • The outcome of these negotiations will influence the stability of the Bayrou government and its ability to maintain support from left-wing parties in Parliament.
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