Jean-Luc Mélenchon proposes canceling part of French public debt

Jean-Luc Mélenchon, leader of the radical left and 2027 presidential candidate, has proposed canceling a significant portion of France's public debt. Specifically, he suggests erasing the 18% of debt currently held by the Banque de France, an amount estimated at approximately 600 billion euros, to increase public spending capacity.

The proposal has gained support from investment banker Matthieu Pigasse, who argued during a La France insoumise meeting that such an action could be taken without negative economic or financial impacts.

However, the idea has faced sharp criticism from political opponents and experts. Former European Commissioner Thierry Breton argued that the move is legally impossible, noting that the Banque de France is part of the Eurosystem governed by the European Central Bank and cannot unilaterally cancel or erase bonds. Additionally, Economy Minister Roland Lescure dismissed the proposal as unrealistic.