On Tuesday, March 4, 2025, French Economy Minister Eric Lombard emphasized the need for France to significantly increase and accelerate its military spending. This directive came as a direct response to the United States' recent decision to suspend its financial and military assistance to Ukraine, as the geopolitical situation continues to evolve.
Lombard stated, "We must make more efforts to protect ourselves, to build this economy for peace, and strengthen defense within a European model. We will need to spend more public money, which will obviously require more efforts." His statements came during an interview on Franceinfo, where he shed light on the matters concerning national defense and fiscal policies.
The minister acknowledged the reality of France's current fiscal constraints, underlining the nation's existing debt. "We pay more than 50 billion euros every year to our creditors," he pointed out, which means new military expenditures cannot be funded through additional debt. This statement reflects Lombard's commitment to managing national finances prudently, outlining, "We must limit the increase of our debt."
Looking forward, Lombard stressed the importance of maintaining France's social protection system throughout these changes. He assured listeners, "We will maintain the French social protection system; this is absolutely necessary," indicating there will be no cuts to the budgets for education, health, or justice during this transitional phase.
To finance the new military spending, Lombard proposed two key strategies: enhancing the employment rate and considering the possibility of making existing contributions from high-income households permanent. He explained, "The first lever to balance our public finances is the employment rate," with specific focus on the employment levels of individuals aged 50 to 55. This demographic has been flagged as holding potential for improving economic contributions.
Notably, findings from the recently passed 2025 finance bill, which included provisions for high-income households, are also under consideration. Lombard affirmed, "People with significant savings must contribute, and this is something we are considering doing." This statement encapsulates the government's approach to ensuring those who are economically stable share the financial burdens of national defense.
Despite these proposals, Lombard firmly rejected any notion of utilizing frozen Russian assets to cover military expenditures. "The position of France is clear – these Russian assets belong to the Central Bank of Russia and cannot be captured because doing so would be contrary to international agreements to which France and Europe have subscribed," he asserted. This stance demonstrates France's commitment to international law, particularly when it regards financial conduct and foreign relations.
While addressing the strategic direction, the minister also remarked on increasing collaborations with private investors. He indicated efforts will be made alongside the Minister of Armed Forces, Sebastien Lecornu, to encourage private investment engagement, stating, "Next week, we will meet at Bercy with the investors to mobilize them." This highlights the push for private capital involvement to support governmental defense initiatives.
Lombard’s commentary came amid differing reactions within France about the U.S. government's decision to curtail aid to Ukraine. French Minister Benjamin Haddad posed pertinent questions on whether this suspension reinforces peace or detracts from it. He declared, "It distances peace because it only strengthens the aggressor's hand on the ground, which is Russia."
Former Prime Minister Edouard Philippe echoed similar sentiments, criticizing the American decision as tantamount to betrayal, expressing deep concern over abandoning Ukraine, which is embroiled in conflict.
With the European Commission announcing additional plans on the same day to support European defense, the French government finds itself at the crossroads of enhancing its military capabilities amid challenging international dynamics. Eric Lombard underscored the urgency, advising France must proceed "faster and more forcefully" than what the current military programming law envisages. He affirmed, "The amount and timeline will be determined by the President of the Republic, as national defense matters are under presidential jurisdiction."
Through these well-laid plans, Lombard seeks not only to secure France’s own military preparedness but also to contribute to the broader stability and peace within Europe. The road forward requires balancing financial and defense needs without forsaking social commitments, which will be key to France's strategic vision.