France's budgetary situation is "very serious", Prime Minister Michel Barnier told Agence France-Presse (AFP) on Wednesday, September 18, saying more information was needed to gauge the "precise reality" of French public finances.

France was placed on a formal procedure for violating European Union budgetary rules before Barnier became head of government earlier this month, while the Bank of France warned this week that a projected return to EU deficit rules by 2027 was "not realistic."

France's public sector deficit is projected to reach around 5.6% of GDP this year and go over 6% in 2025, which compares with EU rules calling for a 3% ceiling on deficits.

Barnier, appointed by President Emmanuel Macron after protracted wrangling in the wake of an inconclusive parliamentary election, has floated possible tax rises to help stabilize finances, a measure Macron has ruled out during the seven years he has been president.

"I am discovering that the country's budgetary situation is very serious," Barnier said in a statement to AFP. "This situation requires more than just pretty statements. It requires responsible action," he said.

The new prime minister, who has yet to appoint a cabinet, is to submit a 2025 budget to parliament next month, in what is expected to be the first major test for the incoming administration.