France’s debt was downgraded by a second rating agency in the space of a week, underscoring doubts the country can deliver on promises to tame its debt during a period of political instability.
Morningstar DBRS demoted France’s long-term issuer rating to AA from AA (high) and changed the trend to stable from negative late on Friday. It came a week after Fitch also reduced its rating for the country’s sovereign debt.
France’s minority government collapsed in a confidence vote on support for deficit cutting measures in the 2026 budget earlier this month.
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