Europe - Azzet - Business news, investments companies & executives

Sign inJoin Now

Europe

Europe
Lecornu reappointed France's PM days after resigning
French President Emmanuel Macron has reappointed Sébastien Lecornu as prime minister just four days after his resignation, amid France’s ongoing struggles to pass a budget that would remedy its debt issues. Lecornu was previously prime minister for 26 days until resigning on 6 October. He resigned shortly after announcing his cabinet appointments, following heavy criticism from both allied and opposition parties. “I accept — out of duty — the mission entrusted to me by the President of the Republic to do everything possible to provide France with a budget by the end of the year and to address the daily problems of our compatriots,” Lecornu wrote on Friday evening after his reappointment. “We must put an end to this political crisis that is exasperating the French people and to this instability that is detrimental to France's image and its interests." Right-wing party The Republicans have said they will not participate in Lecornu’s second government. France’s Socialist Party said it would seek to topple his government if it did not halt a 2023 plan to raise the retirement age. The appointment of former finance minister Bruno Le Maire to Lecornu’s short-lived first cabinet as defence minister resulted in parties acros
Europe
French unions protest over budget cut plans
Hundreds of thousands marched in trade union demonstrations in France, pressuring new Prime Minister Sébastien Lecornu to rethink budget cuts and act on wages, pensions and public services. According to an Interior Ministry source, as many as 800,000 people were expected to take part in the strikes and protests. As a result of the protests, there was disruption to public transport as train, bus and tram drivers went on strike. Nine out of 10 pharmacies were also closed, with pharmacists and hospital staff protesting against pricing policies. Many primary and secondary school teachers, staff and students also joined the protests. There were more than 250 demonstrations and marches in cities from Paris to Marseille, Nantes, Lyon and Montpellier. “The anger is huge, and so is the determination – my message to Mr Lecornu today is this: it’s the streets that must decide the budget,” said Sophie Binet, head of the leftwing CGT union. France faces mounting pressure to rein in its budget deficit, which widened to 5.8% of GDP in the past year. As much as Lacornu wants to reduce that number, he would be reliant on other parties to push through legislation. Previous French Prime Minister, Fracois Bayrou, was ousted by pa
Europe
New French PM appointed, third in one year
French President Emmanuel Macron has appointed a new prime minister, the third in a year. Stepping into the role is Sébastien Lecornu, a close ally of the French president, taking over from François Bayrou, who only took office last December. He was pushed from the job after a vote of no confidence earlier this week, which came in response to his proposal to heavily cut public spending to reduce the national deficit. The proposal was controversial and condemned from all sides of France's parliament. Bayrou's loss comes less than a year after the previous government of Michel Barnier fell apart, also over budget disagreements. Now, Lecournu has become the latest person to be appointed as PM, a 39-year-old member of Macron's central party. "The President of the Republic has entrusted me with the task of building a Government with a clear direction: the defense of our independence and our power, the service of the French people, and political and institutional stability for the unity of the country," Lecornu wrote on X. “I salute François Bayrou for the courage he demonstrated in defending his convictions to the very end.”
Europe
Norway's centre-left Labor Party secures election win
Norway’s centre-left Labor Party, led by Prime Minister Jonas Gahr Stoere, claimed the most votes in the country’s general election this week. Not long before the polls closed, the Labor Party was projected to win with 89 seats, with the centre-right taking 80 seats, in an election where a minimum of 85 seats is needed to form a majority. Once 99% of the votes were counted, Stoere’s party and four smaller left-leaning parties 87 seats. “This is a signal to outside Norway that social democracy can also win despite a right-wing wave," Stoere said in celebration. Stoere is set to remain heavily reliant on his smaller allies to pass major legislation, including fiscal budgets. In order to gain their support, he will likely face tough decisions regarding tax hikes for the wealthy, future oil exploration and divestments by Norway’s US$2 trillion (A$3.055 trillion) sovereign wealth fund from Israeli companies. Despite the left’s win, results showed a shift further right for conservative voters, with the populist, anti-immigration Progress Party of Sylvi Listhaug making its best showing in an election. The right-wing party secures 48 seats of the 169-seat parliament, more than double what it had four years ago, with p
Europe
French PM ousted over public budget cuts proposal
France’s parliament has voted to remove Prime Minister François Bayrou and his minority government over its bid to cut around EU€44 billion (A$78.63 billion) from the country’s budget. The no-confidence vote follows Bayrou’s proposal to slash public spending, which includes reducing public sector hiring and ending two public holidays. French President Emmanuel Macron plans to appoint a new Prime Minister “in the coming days”, his office said. “You have the power to bring down the government, but you do not have the power to erase reality,” Bayrou said before the no-confidence vote. “Reality will remain relentless: expenses will continue to rise, and the burden of debt, already unbearable, will grow heavier and more costly.” Bayrou took office in December, and is the sixth Prime Minister since Macron became President in 2017. He survived two no-confidence motions in February after passing a budget without a parliamentary vote, and another in July amid pension reform negotiations. He had called for a confidence vote to shore up support for his budget proposal, and lost with 364 votes against his government and 194 in favour. France’s budget deficit was 5.8% of its gross domestic product in 2024. Public debt was €3.

Europe
EU removes US tariffs to pave way for lower car duties
The European Union has formally proposed the removal of tariffs on United States industrial goods in return for reduced U.S. auto tariffs as a key part of the agreement the EU and U.S. struck last month. As part of the deal, the EU has agreed to a 15% U.S. tariff on European cars and car parts. This would be a reduction from the 27.5% tariff and is expected to save car makers more than €500 million in duties that would have otherwise been paid for in exports in one month only. In response to the deal, Ursula von der Leyen, President of the European Commission, said the European Union will always pursue what is best for its citizens and businesses. “This is not the end of the process; we continue to engage with the US to agree more tariff reductions, to identify more areas of cooperation, and to create more economic growth potential,” von der Leyen said. “At the same time, we continue to diversify our international trade partnerships, creating EU jobs and prosperity.” The proposal now needs to be approved by the European Parliament and Council, which could take weeks; however, the reduction of U.S. tariffs on the EU is set to take place before then. This comes after weeks of intense negotiations. Under the deal
Europe
French PM expected to lose no confidence vote
France is facing cabinet collapse as the prime minister is expected to lose a vote of no confidence. The French PM, François Bayrou, has called for a confidence vote to take place on September 8, which he announced on Monday. Bayrou, who says he is ready to “fight like a dog”, is pushing for the vote as he and his minority government campaign for National Assembly support for €43.8 billion in budget cuts, to reduce national deficit. However, the opposing parties have all confirmed they will not back him, and this will likely see his leadership end after just nine months in office. If Bayrou loses the vote, it will happen less than a year after the previous government of Michel Barnier collapsed, also over budget disagreements, after just three months in power. "Yes, it's risky, but it's even riskier not to do anything," he said.
Europe
French bonds tumble after potential government collapse
French Prime Minister Francois Bayrou called a confidence vote that could topple the country's minority government as soon as next month. Three main opposition parties have said they would not back a confidence vote announced by the Prime Minister for 8 September over his plans for sweeping €44 billion budget cuts. This has caused a sharp selloff of French Stocks and bonds due to the political uncertainty in the euro zone’s second biggest economy. France’s blue-chip CAC40 index fell 2% to its lowest level in around three weeks after falling 1.6% late on Monday. Banking giants BNP Paribas and Societe Generale slid more than 6% each, while midcap stocks slid nearly 3%. However, French government 10-year bond yields rose 3.53% to their highest point since March, before quickly stabilising to 3.50% While analysts predicted a return in French political risk as the government tried to secure support for steps to improve its fiscal position, Monday’s developments came as a surprise. Bayrou’s government could fall if he loses the confidence vote in the National Assembly. This would mean President Emmanuel Macron could name a new prime minister, ask Bayrou to remain head caretaker of the government or call a snap election
Europe
Europe rallies around Ukraine for high-stakes talks
Half a dozen European leaders will be flanking Ukrainian President Volodymyr Zelenskyy when he meets Donald Trump in Washington on Monday, in an unprecedented diplomatic show of support designed to prevent another Oval Office disaster. The European mobilisation comes after Trump's Alaska summit with Vladimir Putin failed to produce a ceasefire, leaving Ukraine facing renewed pressure to accept territorial concessions. French President Emmanuel Macron, German Chancellor Friedrich Merz, British Prime Minister Keir Starmer, European Commission President Ursula von der Leyen, and NATO Secretary-General Mark Rutte have all confirmed their attendance. The coordinated European response reflects deep anxiety about Trump's February meeting with Zelenskyy, which devolved into a heated confrontation where the U.S. President and Vice President JD Vance publicly berated the Ukrainian leader for alleged ingratitude. European officials fear a repeat could undermine Ukraine's negotiating position at a critical juncture.Putin's territorial demands emergeSources briefed on the Alaska talks revealed that Trump and Putin discussed proposals for Russia to relinquish small pockets of occupied Ukraine in exchange for Kyiv ceding fortified ea