French Gov’t Resigns, Hollande Appoints PM to Form New Cabinet

Local Editor

French Prime Minister Manuel Valls presented his government's resignation on Monday, a day after Economy Minister Arnaud Montebourg called for new economic policies and questioned neighbor Germany's "obsession" with budgetary rigor.

It is the second reshuffle in just five months as the ruling Socialists struggle to pull France out of the economic doldrums and the government is riven by infighting between left-leaning party members and those like Valls who veer more to the center.

In a statement, Hollande's office said a new government would be formed on Tuesday in line with the "direction he [the president] has defined for our country."

Valls was asked by Hollande to form a new team only four months ago, but has continually had to reconcile policy differences between leftists such as Montebourg and more centrist members of his Socialist-led government.

Moreover, Montebourg said on the weekend that deficit-reduction measures carried out since the 2008 financial crisis were crippling the euro zone's economies and urged governments to change course or lose their voters to populist and extremist parties.

Valls was appointed to lead the government in a cabinet reshuffle in March, after the ruling Socialists were defeated in local elections. 

Source: News Agencies, Edited by website team