France’s Public Debt Reaches Historic High, Surpassing 119% of GDP in Q2 2026

France’s public debt has surged to a record €3,595.5 billion in the second quarter of 2026, representing 119% of the country’s Gross Domestic Product (GDP), according to data from the National Institute of Statistics and Economic Studies (Insee). This marks a sharp increase from the 117.5% of GDP recorded at the end of the first quarter and reflects a net rise of €59.6 billion within three months.

The state debt specifically increased by €53 billion during this period, while social security administrations’ debt also climbed by €8.4 billion, driven notably by Urssaf and Cades. Conversely, local public administrations saw their debt decrease by €1.7 billion, with reductions in regions, municipalities, and departments, although some local bodies such as Île-de-France Mobilités experienced slight increases. The government expects this upward trend to continue, forecasting public debt to reach 121.7% of GDP in 2027, which is more than double the European Union’s recommended ceiling of 60% and represents a historic peak since France began tracking these figures in 1978.

In the broader European context, France remains one of the most indebted countries within the EU. Data from Eurostat shows that in the first quarter of 2026, the average public debt across EU member states stood at 82.9% of GDP, marginally up from 81.8% at the end of 2025. France’s debt ratio of approximately 117.6% places it among the highest, only trailing behind countries such as Greece, with a public debt level of 143.5%, and Italy, at 138.9%. Other countries like Belgium also have significantly high debt exceeding 100% of GDP.

This sustained high debt level in France is partly attributed to structural fiscal deficits and was exacerbated by the COVID-19 pandemic’s economic impact. While some reduction in the debt-to-GDP ratio has been seen across Europe since 2022 due to economic recovery and inflation-related tax increases, France’s figures highlight ongoing challenges in public finance management due to persistent budgetary pressures.

The sharp quarterly increases in France’s public debt underline the difficulty policymakers face in curbing fiscal imbalances amid economic uncertainties and financial obligations. The government’s projection suggests continued vigilance will be necessary to address this trend in the coming years.