France intends to borrow record €340 billion as Covid-era debt comes due

The French government will sell a record amount of bonds to investors next year, as it faces a surge in Covid-era debt due for redemption and in need of refinancing, according to the country's public debt management office, as reported by France 24.

The office said the borrowing plan, set at a record €340 billion, comes amid mounting concern about France's surging public deficit and rising borrowing rates.

The scale of the planned bond sale underscores the budgetary pressure facing the French government as debt taken on during the Covid-19 pandemic reaches maturity and must be rolled over through new issuance.

Rising borrowing costs in recent periods have added to the challenge, potentially increasing the overall cost of servicing France's growing public debt load.

The debt management office's announcement did not detail the specific maturities or timing of the planned bond issuances beyond confirming the record overall borrowing figure for next year.