Focus 2030
Subscribe to our newsletter  |  en  |   | 
en    

France’s draft 2026 Finance Bill: further cuts planned for Official Development Assistance

Published 23 October 2025 in Analysis, News

On October 14, 2025, the French government presented its draft Finance Bill for 2026. For the fourth time in a row, the Official Development Assistance (ODA) mission, which makes up only 0.6% of the state budget, is among those most affected.

The 2026 draft Finance Bill proposes a 704 million euros reduction in the ODA mission budget compared to the 2025 Finance Act (excluding a 134 million euros cut made by decree in April 2025), reducing it from 4.373 billion euros to 3.669 billion (-16%). Additionally, this budget proposal confirms France’s withdrawal from innovative development and climate financing since 2025 (see box below).

On average, state budget missions will be reduced by 2%. The ODA mission faces the third-largest reduction in terms of proportion (-16%), after the “Transformation and civil service” (-27%) and “Sport, youth, and associations” (-18%) missions, and the fourth-largest cut in terms of volume (-704 million euros), behind the “Labor, employment, and administration of social ministries” (-2.4 billion), “Territorial cohesion” (-894 million), and “Solidarity, integration, and equal opportunities” (-827 million) missions.

 

 

 

This is the fourth consecutive cut to the Official Development Assistance budget in under two years. Since 2021, when a law was passed to gradually increase funding for this policy, allocations have instead been reduced by 46%. If this trend continues, France’s total Official Development Assistance, as calculated by the OECD, could decline to 0.38% of GNI by 2026—returning to its 2016 level.

As an illustration, cutting 704 million euros from the budget of the Global Fund to Fight AIDS, Tuberculosis and Malaria means 750,000 fewer lives preserved.

 

 

 

 

The end of innovative development and climate financing

In addition to cuts made through financial laws and decrees, the 2025 Finance Act ended France’s innovative Official Development Assistance (ODA) financing mechanism. Previously, a portion of revenue from the financial transactions tax and the solidarity levy on airline tickets was allocated each year to the Solidarity Fund for Development (FSD) to support France’s financing of multilateral instruments (Global Fund, Gavi, Unitaid, the Green Climate Fund, and the Global Partnership for Education).

The 2025 Finance Bill formalized the abolition of the FSD, all proceeds from the two taxes now flow into the general budget, thus eliminating the only mechanism that had provided stable, dedicated support for ODA. The FSD is replaced by a new budget line of the same name, which adds 738 million euros in payment credits to the ODA mission from 2025 onwards, artificially limiting the fall in payment credits.

 

Further reading