French minister fears dire economic effect of rallies

Continuing protests in France are having a catastrophic effect on the economy, the country’s finance minister said.

The yellow vest protests, named for the high-visibility tops worn by demonstrators, were sparked by proposed fuel tax increases but have since become a larger movement encompassing a variety of grievances against President Emmanuel Macron’s government.

Protests this weekend were the largest yet, with an estimated 125,000 people taking to the streets. French police made about 1,700 arrests and although there were fewer injuries than last week, more property was damaged.

“There was much more dispersion, so many more places were impacted,” Emmanuel Gregoire, deputy mayor of Paris, told France Inter radio. “There was much more damage yesterday than there was a week ago.”

On Saturday, the Eiffel Tower, Louvre Museum and many businesses and restaurants closed to visitors in anticipation of violence.

Although the precise cost of the protests to the economy cannot yet be quantified, the French retail federation estimates retailers alone have lost about €1 billion (Dh4.1bn) since the protests began.

As he toured shops and businesses affected by the riots yesterday, French Finance Minister Bruno Le Maire said the current state of affairs was “a crisis” for the country.

“It’s a catastrophe for commerce, it’s a catastrophe for our economy,” Mr Le Maire said.

World leaders began to weigh in as photos and video showed billowing smoke, violent altercations between the police and protesters and smashed windows were beamed across the globe.

US President Donald Trump said the protests showed that France should pull out of the Paris Climate accords, calling the non-binding agreement “ridiculous and extremely expensive”.

The French government responded swiftly.

“We do not take domestic American politics into account and we want that to be reciprocated,” Foreign Minister Jean-Yves Le Drian told LCI television.

“I say this to Donald Trump and the French president says it too: Leave our nation be.”

He said that Mr Macron was keen to talk to the demonstrators and would offer solutions in an address to the people scheduled for next week.

“I think his remarks will be strong enough for the movement to halt, or at least for the hooligans to be put off,” Mr Le Drian said.