ECB’s Lagarde: The Risk of a Government Falling in the Eurozone Is Concerning

1 September 2025

By Marta Vilar – MADRID (Econostream) – European Central Bank President Christine Lagarde said on Monday that there was no need now for the International Monetary Fund to intervene in France but that the potential fall of any government in the Eurozone was concerning.

In an interview with French Radio Classique, Lagarde said that she had been looking at the French bond spreads "very attentively".

"I believe that the French banking system is well capitalized, that it is in better shape than it was during the last major financial crisis, that it is well structured, well supervised and has responsible players", she said.

Lagarde did not see the banking system as a source of the current risk, "but markets, in all circumstances of this nature, assess the risk", she said.

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