France's Financial Future Hinges on Public Spending Limits Amid Political Shift

France must limit public spending regardless of its new prime minister, according to BNP Paribas' chief executive. The country faces political uncertainty following a snap parliamentary election called by President Macron, resulting in a hung parliament led by a leftist alliance, raising concerns over public finances.

France must limit public spending regardless of the next prime minister, as the country grapples with political instability following a snap parliamentary election, said the chief executive of France's largest bank on Wednesday.

President Emmanuel Macron's unexpected move has led to a hung parliament dominated by a leftist alliance, unsettling investors worried about France's financial stability. BNP Paribas CEO Jean-Laurent Bonnafe addressed the issue in a call with analysts.

"It's unclear who will take key government positions, but it's evident that France requires stricter public spending controls," Bonnafe noted. He emphasized that the nation must adhere to specific fiscal norms to ensure financial discipline.

(With inputs from agencies.)