France Faces Political Quake: Barnier Ousted

French lawmakers passed a no-confidence vote against the government, leading to Prime Minister Michel Barnier's resignation. This political crisis could affect France's ability to govern and manage its budget deficit. The country's political instability further impacts the European Union amid global political shifts.

On Wednesday, French lawmakers passed a no-confidence vote against the government, intensifying a crisis in Europe's second-largest economy. The motion had the backing of far-right and left-wing factions, and it led to Prime Minister Michel Barnier's resignation.

This upheaval marked the shortest tenure for a government in France's Fifth Republic since 1958. Barnier's government faced backlash for bypassing traditional parliamentary procedures to propose a budget aimed at reducing the national deficit by 60 billion euros. In response, Parliament delivered a polarized verdict with a solid 331 votes against Barnier.

The resulting political ambiguity has posed significant challenges for France's future governance, especially with imminent decisions expected from President Emmanuel Macron. This development extends further into the European Union's persistent instability, highlighting pressing concerns for investors and international relations.

(With inputs from agencies.)