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Focus Shifts To Gov't Formation As NFP Promises Censurve Vote On Barnier
Following the appointment of former foreign minister Michel Barnier as PM on 5 Sep, focus will now turn to the efforts of Barnier and President Emmanuel Macron in putting together a new cabinet. Under Article 8 of the French constitution, it is the president who has the power to appoint gov't ministers, but has to do so "on the proposal of the prime minister." This means the two will have to work together on cabinet appointees and meet today at around 1200CET. Until then, the current cabinet remains in place in a caretaker capacity.
- There is no deadline to put together a cabinet. For former PM Elisabeth Borne it took four days. For the outgoing PM Gabriel Attal he appointed senior ministers within two days but then a slew of junior ministers a month later.
- The left-wing New Popular Front (NFP) alliance has promised a censure vote in the National Assembly in an effort to force the far-right Rassemblement National (RN) to either back the Barnier gov't, abstain, or vote against it.
- If the RN votes against the gov't then it falls. If it abstains then the vote would come down to the actions of smaller groups such as the Liberties, Independents, Overseas and Territories (LIOT), giving them significant negotiating power. If the RN backs the Barnier gov't then the administration will remain in place, but could face a major political backlash for being 'in league' with the far-right.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.