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France proposing merging, scrapping third of gov't agencies by end-year

Published by Global Banking & Finance Review

Posted on April 27, 2025

1 min read

· Last updated: January 24, 2026

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France Aims to Merge or Eliminate Government Agencies

PARIS (Reuters) -The French government will propose combining or eliminating a third of government agencies by the end of the year in a bid to save money, the public accounts minister said on Sunday.

"We will, by the end of the year, propose in the budget that a third of state-backed agencies and operators that are not universities are merged or eliminated," Amelie de Montchalin, the public accounts minister, said in an interview with French broadcaster CNews/Europe 1.

Doing so would save two to three billion euros, she said.

Prime Minister Francois Bayrou's government has sought to cut the public sector budget deficit from 5.4% of economic output this year to 3%, the European Union's ceiling, in 2029.

Finance Minister Eric Lombard has said the government will seek to cut 40 billion euros in spending in the next fiscal year.

(Reporting by Makini Brice; editing by David Evans)

Key Takeaways

  • France plans to merge or eliminate a third of its government agencies.
  • The initiative aims to save two to three billion euros.
  • The move is part of efforts to reduce the budget deficit.
  • Prime Minister Francois Bayrou supports the budget cut.
  • Finance Minister Eric Lombard targets 40 billion euros in savings.

Frequently Asked Questions

What is the main topic?
The main topic is France's proposal to merge or eliminate a third of its government agencies to save money and reduce the budget deficit.
What is the expected financial impact?
The proposal is expected to save two to three billion euros and contribute to reducing the budget deficit.
Who are the key figures involved?
Key figures include Public Accounts Minister Amelie de Montchalin, Prime Minister Francois Bayrou, and Finance Minister Eric Lombard.

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