Headlines
France nets 9 billion euros in new corporate investments despite budget battles
Published by Global Banking and Finance Review
Posted on November 17, 2025
2 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on November 17, 2025
2 min readLast updated: January 21, 2026
France secures €9.2 billion in corporate investments amid budget challenges, highlighting its appeal as a top business destination despite political turmoil.
By Leigh Thomas
PARIS (Reuters) -Companies have pledged to invest 9.2 billion euro ($10.7 billion) in France, the finance ministry said on Monday, as the government seeks to show the euro zone’s second-biggest economy remains a top business destination despite political turmoil.
French firms in sectors from energy to health and agri-food made the commitments ahead of a government-organised "Choose France" summit, modelled on President Emmanuel Macron's annual meeting with global corporate leaders.
The new money adds to 21.2 billion euros flagged over the past year, bringing the total to 30.4 billion euros for 150 projects, the ministry said.
Macron's pro-business agenda has frayed since a snap election last year produced a hung parliament, with opposition parties eager to undo his supply-side reforms.
France has since lurched from crisis to crisis, struggling to pass its budget and leaving companies with little policy visibility, especially on taxes.
Corporate leaders have condemned lower-house votes to hike business taxes in the 2026 budget to plug France's gaping deficit rather than cutting spending - the highest among developed economies.
In such an environment, "it takes real courage to keep moving ahead without wavering," L'Oréal Chairman Jean-Paul Agon told a conference Thursday. "If you can succeed in France, you can succeed anywhere."
Lawmakers have added billions in tax hikes on top of those in the government's draft budget, though the Senate may strike some down in coming weeks.
Finance Minister Roland Lescure sought to reassure executives that restoring public accounts would not rely solely on tax hikes. "That would stifle the economy and jobs. The government will do everything to ensure the final text preserves growth," he told Le Figaro before the summit.
Despite recurring turmoil, France's economy grew a faster-than-expected 0.5% in the third quarter, outpacing Germany and Italy thanks to surging exports and stronger investment.
($1 = 0.8618 euros)
(Reporting by Leigh Thomas; Editing by Sudip Kar-Gupta and Lincoln Feast.)
Corporate investment refers to the funds that companies allocate towards projects, assets, or other ventures with the expectation of generating returns.
Economic growth is the increase in the production of goods and services in an economy over a specific period, typically measured by GDP.
Corporate tax is a tax imposed on the income or profit of corporations, which varies by jurisdiction and can influence business investment decisions.
Investment portfolios are collections of financial assets such as stocks, bonds, and real estate that an investor manages to achieve specific financial goals.
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