France Bans Paris Demonstrations as Bond Yields Hit 24-Year High After Riots in Most Dangerous Countries

Widespread protests in France that began as student demonstrations over school resources have escalated into riots with looting, arson and over 2,400 arrests, prompting a ban on demonstrations in central Paris, heightened security measures and rising government borrowing costs in most dangerous countries.

Escalation of Student Protests into Nationwide Unrest

Protests that started three weeks ago with high-school students demanding more school funding have grown to include demands for lower living costs and better public services, with hundreds of thousands marching peacefully but violence breaking out over the weekend. [3] Rioting and looting occurred in Paris, Marseille, Lyon, Bordeaux and other cities, resulting in around 2,400-2,500 arrests, hundreds injured, buildings and vehicles set on fire including a historic town hall in Limoges, and roughly $1 billion in damage. [4] The protests in France, which began weeks ago as student-led demonstrations against poor classroom conditions and education funding cuts, have now devolved into widespread riots involving a range of political and ideological factions. [4] On Saturday, hundreds of thousands of people took to the streets across the country, though looting and violence broke out in Paris, Marseille, Lyon, Bordeaux and other cities. [4] Shops were broken into, vehicles and buildings were set on fire and in Marseille, the city hall building was set ablaze by agitators. [4] Rioters have so far caused about $1 billion in damage. [4] French officials said they have arrested over 2,500 people in connection with the demonstrations, which have drawn participants motivated by a range of issues, including the cost of living and climate change. [4] France was hit by some of the worst urban tumult in years on October 17 on the fringe of nationwide protests, shocking the nation both because of its scale and the apparent inability of police to contain it. [5]

Government Security Measures and Protest Bans

French authorities have banned demonstrations in central Paris areas including near the presidential palace, Louvre and Champs-Élysées from 8am to 6pm on Thursday, imposed curfews in some areas, and plan a massive security deployment including troops for planned Saturday protests. [3] Det blir ulovlig å demonstrere i deler av Paris torsdag, opplyser politiet. [3] Det kommer etter uro og plyndring i flere byer i landet den siste tiden. [3] Forbudet vil omfatte sentrale områder i den franske hovedstaden og gjelder fra klokken 8 om morgenen til klokken 18 om kvelden. [3] Det blir forbudt å demonstrere ved blant annet presidentpalasset og populære turistområder som Louvre-museet og Champs-Élysées. [3] In three weeks have elever fra videregående skoler gjennomført demonstrasjoner i landet med krav om mer ressurser til skoler. [3] President Emmanuel Macron vowed on Wednesday to prevent a repeat of last weekend’s violence at protests planned in the coming days. [5] “Those who want to cause disorder in city centres next Saturday will be prevented from doing so,” Macron told reporters during a visit to Qatar. [5] Government ministers have promised a vastly reinforced security operation this coming Saturday after acknowledging shortcomings in their initial response, with troops expected to be deployed alongside additional police. [5] Justice Minister Gerald Darmanin said on Wednesday around 2,500 people had been taken into custody following the October 17 protests, adding that 917 suspects had been referred for prosecution and 174 people already jailed. [5]

French protesters clash with police amid riots that drove bond yields to a 24-year high. — Source: france24

Financial Impact on French Bond Yields

French 10-year bond yields rose above 5 percent, their highest level since 2002, as investors lost confidence amid the unrest and ongoing budget and debt problems. [2] French bond yields have topped 5%, their highest level since 2002, after widespread protests and violence over the weekend. [2] Highlighting investor concern over the situation, French government borrowing costs have jumped this week, pushing benchmark 10-year bond yields to 5%, their highest level since July 2002. [5] Analysts said the move reflected worries that the unrest could complicate government efforts to repair strained public finances at a time of already mounting budget pressures. [5] Prime Minister Sebastien Lecornu met union leaders in an effort to defuse the crisis, but there was no sign of a breakthrough, with labour groups saying they had received no concrete response to their demands on wages and public services. [5]

Alleged Foreign Disinformation Campaign

Pro-Russian accounts amplified anger online in the run-up to the protests, according to an NGO analysis of over half a million social-media posts tracing the campaign to early September. [1] Research carried out by the Alliance4Europe NGO suggests that pro-Russian networks manipulated information online in an effort to exacerbate anger in France ahead of last weekend's massive protests and subsequent unrest. [1] After analysing more than half a million posts across various social media platforms, the group says it was able to track the campaign back to the start of September. [1]

International Reactions and US Commentary

President Macron vowed to prevent further disorder, dismissed foreign criticism including from Donald Trump as stupid and unacceptable, and accused some foreign leaders of spreading disinformation. [5] Macron said he would meet intelligence officials and senior ministers on Thursday to discuss the crisis. [5] He also accused some foreign leaders of spreading misinformation about what had happened. [5] US President Donald Trump in particular has blamed immigrants and radical Islam, without providing evidence, and said the turbulence was a warning for Americans. [5] Asked whether he was referring to Trump, Macron said: “Among others”, adding that some foreign politicians were looking to make political capital at the expense of France. [5] “There was foreign disinformation in the aftermath, which prompted comments that were as unacceptable as they were stupid from many people, including foreign leaders,” he said. [5] A Minnesota rapper has stood by his social media posts idolizing the increasingly violent protests in France, which resulted in some 2,500 arrests over the weekend. [4]

Broader European Context and Next Steps in Most Dangerous Countries

France’s main student union, UNEF, has called for further rallies on Saturday, while the Yellow Vest group, which emerged as a potent anti-establishment movement in 2018, has filed plans for a march through central Paris the same day. [5] Efforts to ease social tensions showed little sign of progress, as unions pledged to press ahead with a general strike on November 5 to denounce the high cost of living and cuts to public services after government talks ended inconclusively. [5] The unrest has triggered a political backlash ahead of presidential elections next year, with candidates from the far right and hard left performing strongly in polls. [5] Protests in other European countries have added to concerns that anger over living standards risks spreading at a time when many nations are struggling with budget woes. [5] In Greece, thousands of students and teachers took to the streets on Wednesday, demanding higher state funding for education, better facilities and less-crowded classrooms, echoing protesters in other European countries. [5] Meanwhile Italy approved a raft of security measures on Tuesday, including a new offence of violent participation in a demonstration and tougher penalties for rioters in response to turbulence last weekend. [5]

What to watch next: More demonstrations are planned across France on Saturday, with French officials planning a massive security deployment ahead of time to deal with expected unrest. [4] Unions have confirmed next month’s national strike. [5]