Jean-Luc Melenchon proposes canceling 18% of French national debt held by the central bank to fund social programs.

Melenchon stated that his plan targets debt held by the central bank rather than private creditors, and he suggested that the discussion of debt cancellation might not be limited to France, potentially finding allies in Europe. France's public debt currently exceeds 116% of GDP, while the budget deficit stands at approximately 5% of GDP, which is above the European Union's 3% target. The French prime minister warned that failing to meet public debt obligations would force the country to borrow at extremely high interest rates. Joachim Nagel, the head of Germany's central bank, stated that no central bank in the Eurosystem or the ECB is allowed to cancel national debt. He noted that such a move would constitute monetary financing of the government, which is prohibited by European treaties and could lead to hyperinflation.