The French government was dissolved by President Francois Hollande on Monday after open feuding and turmoil among his top ministers and cabinet over the country's stagnant economy occurred, the Associated Press reported. In a country where growth has stalled and unemployment remains high, the upheaval was caused by public calls from Economy Minister Arnaud Montebourg for a major reorientation of economic policy.
Hollande asked Prime Minister Manuel Valls to form a new government by Tuesday after Valls accused Montebourg of crossing a line with his blunt criticism of the government's policies and offered up his Socialist government's resignation, Hollande's office said in a statement posted on Twitter.
While the country is under pressure from the 28-nation European Union to get its finances in order, Montebourg has questioned whether the austerity tack pressed by the EU will really kick start French growth, CNN reported. With France experiencing no economic growth this year, unemployment is hovering around 10 percent.
Hollande's promises to cut taxes and make it easier for businesses to open and operate have stalled, in large part because of the divisions among his Socialist party, the AP reported. "A major change in our economy policy," was what Montebourg had said was needed, just days after Hollande had expressly said there would be no change in the government's economic direction.
Montebourg's comments angered the Socialist leadership and were seen as a challenge to the authority of Hollande and Valls, who claimed that the minister's job was to support the government, not criticize it from within. "He's not there to start a debate but to put France back on the path of growth," Carlos Da Silva, the Socialist Party spokesman, told the Le Figaro newspaper, a right-leaning national newspaper. "The crisis in the heart of the government is clear, and it promises to be bloody."
Socialist leader Hollande said he wants the new government to be "a team that is coherent with the course that he himself has set for our country," the statement from his office said.
While Hollande has the worst approval ratings of any French President on record since he took office in 2012, Montebourg represents the hard-left Socialist base, and his departure from the government is likely to anger many of the voters despite showing a decline in recent opinion polls.
Meanwhile, the new government is unlikely to include Montebourg or other left-wing Socialists and there will be no new election. Instead, led by Valls, the new Cabinet is expected to work toward smoother ties with the EU.
Valls has been in the post of Prime Minister since March 31, replacing Jean-Marc Ayrault, according to CNN. Hollande has held the presidency since 2012, when he defeated his predecessor, the center-right leader Nicolas Sarkozy.