Sébastien Lecornu Resigns as France's Shortest-Serving Prime Minister, Market Reacts Sharply
Sébastien Lecornu resigns after just one day as French Prime Minister, prompting market declines and political uncertainty.
- • Sébastien Lecornu resigned one day after his government announcement, becoming the shortest-serving Prime Minister of the Fifth Republic.
- • His resignation followed criticism from both the right-wing and opposition parties.
- • The CAC 40 stock index fell nearly 2% after news of his resignation.
- • Lecornu was considering tax reductions to improve citizens' purchasing power amid union protests.
Key details
French Prime Minister Sébastien Lecornu resigned on Monday, just one day after his government was announced, marking him as the shortest-serving Prime Minister in the history of the Fifth Republic. His rapid departure came amid intense criticism from right-wing factions and opposition parties, which pressured him to step down swiftly, according to France24 (ID: 88899).
This unexpected resignation triggered a near 2% plunge in the CAC 40 stock index, reflecting investor uncertainty about France's political and economic trajectory following such a sudden governmental change, as reported by Le Figaro (ID: 88894).
During his brief tenure, Lecornu had been exploring measures to reduce taxes with the goal of boosting the purchasing power of French citizens. Plans under consideration included cuts to income tax and other levies in response to ongoing union protests occurring simultaneously with his announcement.
Lecornu’s resignation follows a period of political turmoil and unrest, highlighted by widespread union demonstrations reflecting discontent with current economic conditions. Alongside the political upheaval, separate controversies have surfaced, such as scrutiny of Paris' 18th arrondissement mayor Eric Lejoindre over allegations of extravagant expenses, which his team insists are politically motivated attacks.
Lecornu's swift downfall and the immediate market reaction underscore growing instability within the French government and raise questions about the challenges facing President Emmanuel Macron in stabilizing his administration. Macron accepted Lecornu's resignation promptly, signaling the need to quickly identify a new Prime Minister capable of navigating the tense political and economic landscape.