World's largest investors avoid French government debt due to rising budget deficit, risking credit rating downgrade.

World's largest investors avoid French government debt due to rising budget deficit (5.5% GDP in 2023) and increasing 2024 target to 5.1%. Concerns over public finances may lead credit rating agencies to downgrade France's credit rating, as fiscal issues typically focus on Southern European states. Investors like Legal & General Asset Management and Franklin Templeton are underweight in French bonds.