What’s Up With France?

Since departing France two years ago, the political landscape has been a whirlwind. One might even say, a spectacle. It’s not just the press that smells of burnt wires; from economies to culture to politics, France feels genuinely off-balance. The key questions now are, is France still investable, and what is everyone really talking about, or not talking about, on the ground?

Politics

As illustrated by treasury yield charts, French government bond yields have surged dramatically since 2021. This is the result of a combination of factors, but one glaring issue is France’s record-high indebtedness within Europe. Soaring public spending to support the social state, such as pensions, healthcare, and unemployment benefits, has collided with declining state revenues, leaving both the nation and its institutions in a vulnerable position.

Every president has left a distinct mark, yet none have performed miracles. The fate of France cannot rest solely on a single five-year term, or even two. The core issue, in my view, is a chronic lack of long-term vision. Short-term political interests have left citizens uncertain about the nation’s future, eroding faith in France’s trajectory and weakening the collective sense of belonging. When people lose clarity about where their country is headed, national unity and ambition suffer; the same principle applies to companies, sports teams, or any community. Above party lines, what France truly needs is more committed, forward-thinking governance, grounded not only in strategy but also in care and a genuine sense of stewardship for the nation’s long-term wellbeing.

And yes, the question arises: What do care and love have to do with politics? That’s precisely the point. French politics has turned into a spectacle, too often dominated by personalities more interested in wielding power than in fostering progress.

Major political events vs. 10-year French Treasury yields, 2015–2025.

Media & Narratives

“The key to a people’s civil liberties lies in the freedom of the press,” said Emile Brachard in 1935. Yet, if you scan today’s newspaper headlines, most articles fixate on sensational crimes or distant tragedies—rarely on vital questions such as the fate of tax revenues, strategies for national wealth creation, or the true state of power inside the Élysée Palace. This is not uniquely French but reflects a broader trend that contributes to declining trust in government and leadership. A journalist once confided to me that major media outlets regularly coordinate with the government before publishing certain news, what reaches the public is often curated by a handful of powerful interests. When the media becomes a tool for vested interests, it closely resembles propaganda.

Cultural Shifts

The spirit of open debate is fading. My parents’ and grandparents’ generations took pride in long, spirited discussions about politics, history, and world affairs. Today, meaningful debate seems possible only among friends with similar viewpoints. Social media algorithms reinforce this tribalization, clustering content by mindset and opinion, increasing polarization. This shift narrows perspectives and weakens France’s tradition of broad-minded discourse.

Worse, those voicing divergent opinions are quickly judged, often at the expense of relationships that once thrived on respectful disagreement. This stifles innovation and the healthy questioning of authority that once defined corporate and academic life.

Despite these challenges, France’s educational system remains an asset. Purely French academic traditions allow for exceptional conceptual thinking and abstract reasoning, and French expatriates often stand out for their broad knowledge regardless of their family background. Free or affordable education remains a strong predictor of social mobility.

A new generation, observing the limits of the welfare state, is increasingly drawn to entrepreneurship and self-reliance, nurturing a growing “hustle culture.” Meanwhile, greater diversity is transforming French society, creating both opportunities and challenges. The crucial question for investors: How will companies adapt to these changes, and which will lead the innovation wave over the coming decades?

Economy & Infrastructure

Returning to France after months abroad, I was struck to hear Bloomberg Intelligence, at a fund selector meeting in Madrid, cite France as nearing a debt rating downgrade, with bond yields approaching those of Italy, a sign of increased risk. Political instability is destabilizing public administration and decision-making.

French infrastructure also lags behind global peers. The West remains remarkably self-absorbed, seemingly unaware of being outpaced by agile, ambitious emerging economies. To illustrate: in rural Thailand, I experienced better connectivity than in central Paris, where reliable service at coworking spaces was far from guaranteed. Dysfunction and mediocrity have become normalized, impeding high performance.

Healthcare illustrates these issues starkly. As the population ages, the number of available doctors shrinks. Average wait times for specialist appointments in France are now:

• Ophthalmologist: 80–190 days
• Dermatologist: 61–126 days
• Cardiologist: 50–104 days
• Gynecologist: 44–93 days
• Rheumatologist: 45–96 days
• Dental surgeon: 28–67 days
• Pediatrician: 22–64 days
• Radiologist: 21–48 days

Stories of interminable waits are common. Without personal connections, securing timely care is often impossible. After researching hospitals in Asia in 2023, I concluded that technology, AI, and teleconsultation are the only paths to reconcile capitalism with improved public health; otherwise, market logic alone will not lift standards of care.

It is these persistent dysfunctions, the failures of overgrown bureaucracy, a stalled innovation engine, that drove me away from France. Every return, the problems seem more entrenched.

Compounding this, a dearth of accessible public data keeps citizens in the dark. Even when INSEE (the national statistics office) releases data, it’s often too late to be useful, perhaps by design.

Is France Investable?

Amid these headwinds, some of France’s best opportunities require careful stock-picking. Even in difficult times, resilient companies can thrive, often it’s during crises that fortunes are built. Given the prevailing negativity surrounding France, digging for hidden gems may produce outsized rewards. After all, adversity can breed strength, and adversity abounds.

Final Thoughts

There’s truth to the saying: “Tough times make strong men, strong men make good times.” Decades of comfort have brought us to a turning point: hard times are demanding resilience, adaptation, and creativity. Many are stepping up, driven by necessity to find solutions and forge their own security, often through entrepreneurship and a renewed interest in the stock market. The younger generation, in particular, is charting its own course, less willing to depend on an overstretched state.

France faces real and urgent challenges, but, as always, great potential persists amid the turmoil.