France, long a strong advocate for foreign investments, is now facing uncertainty due to a growing debt, rising costs, budgetary overspending, increasing bond rates, and student protests. Nearly two and a half years after the dissolution of the National Assembly, France is experiencing new challenges that raise concerns about the stability of its second-largest economy in the euro zone, following Germany. Kevin Thozet, a member of the investment committee at asset manager Carmignac, told AFP that the current situation is causing significant concern among foreign investors, who are more worried now than during the earlier period of political instability. Beyond the expected difficult budgetary debates in a fragmented National Assembly, the main uncertainty lies in the upcoming presidential election and the possibility of a divided Parliament after legislative elections. The risk is that a form of stagnation could take hold, with investors delaying decisions while waiting for a clearer path to stability. Despite these challenges, France has managed to maintain its appeal, largely due to the pro-business policies of President Emmanuel Macron. According to Business France, a public agency promoting foreign investment, the country recorded 1,878 foreign investment decisions in 2025, marking an 11% increase compared to the previous year. These investments helped create or preserve 47,734 jobs. For the seventh consecutive year, France attracted the most foreign investment projects, surpassing the United Kingdom and Germany, according to the EY consulting firm's barometer. A new edition of Choose France, the annual event organized by the Elysée, is set for January 18, the last one before Macron leaves office. In May, the event had already announced a record 93 billion euros in investments. Jérôme Souied, president and managing partner of Kearney France, told AFP that uncertainty is likely to slow down investment decisions, as is currently observed. However, as long as this uncertainty does not alter the structural strengths of France, such as its decarbonized nuclear energy, talent pool, quality infrastructure, and innovation capacity, these factors will continue to play a role. Ted Pick, CEO of American investment bank Morgan Stanley, who is currently in Paris, agrees, stating in an interview with Les Echos that while many see the glass as three-quarters empty, he looks at the positive side when the foundations are sound. A January survey by Kearney, involving over 500 international company executives, found that France remains the seventh most attractive destination for foreign direct investments, behind Germany and the United Kingdom. However, these positions are considered fragile in the global competition for investment. The EY barometer indicates a decline, with the drop in investment projects in France in 2025 being more pronounced than in the other two European countries. American investors, who are the main foreign investors in France, are particularly cautious. In February, a survey by the Franco-American Chamber of Commerce, AmCham, reported historically low levels of confidence. Eglé de Richemont, general director of AmCham, noted that political and social uncertainty, including the yellow vests protests, demonstrations over pension reform, and recent student protests, is affecting France's image. However, she warned that while existing investments are integrated into the economy, current and future investment decisions remain uncertain. In this context, Jérôme Souied emphasizes the need for Paris to avoid complacency. In the long term, demonstrating a clear industrial policy and the ability to maintain it is crucial for building investor confidence.