Business · Economy · 22 hrs ago
French borrowing costs near 5% as public debt remains high
France’s borrowing costs are close to 5%, near the record level cited for the United States.
The extra return investors demand to lend to France rather than Germany reached 138 to 143 basis points this week, more than twice Spain’s 62 to 63 points.
France’s public debt has climbed to 119% of GDP since Emmanuel Macron took office in 2017, while Spain’s has fallen to 99.9%.
The comparison matters because French companies face higher financing costs than German firms, which can weaken their competitive position.
France’s economy grew more slowly than Spain’s over the period, while French public spending stayed above 57% of GDP.
Tax cuts and stalled reforms have not resolved France’s fiscal problems, and the account gives no specific next step.
French borrowing costs are near 5%, close to a record level in the United States, according to El País.
France’s risk premium over Germany ranged from 138 to 143 basis points during the week covered by the article.
The article attributes France’s high financing costs to persistent public deficits and debt, which it says reached 119% of GDP.
It says French debt has risen by 20 percentage points since 2017, while Spain’s debt fell to 99.9% of GDP.
The article also points to weaker French growth and public spending above 57% of GDP.
- Who
- France and investors who finance its public debt.
- What
- French borrowing costs are near 5%, while the risk premium over Germany ranged from 138 to 143 basis points.
- When
- The article was published on 17 October 2026; the risk premium figures refer to that week.
- Where
- France, with comparisons to Germany, Spain and the United States.
- Why
- The article cites persistent deficits and high public debt, weaker growth, and spending and tax policies it says have not supported growth.
This story does not have two clearly opposing sides.
France’s debt began a period of increase that the article says added 20 percentage points by 2026.
France’s debt exceeded 114% of GDP during the pandemic crisis, according to the article.
France’s risk premium over Germany ranged from 138 to 143 basis points.
- French borrowing costs
- Near 5%
- Risk premium over Germany
- 138–143 basis points
- French public debt
- 119% of GDP
- Change in French debt since 2017
- Up 20 percentage points
- Spanish public debt
- 99.9% of GDP
- French public spending
- Above 57% of GDP