FRENCH PRESIDENT EMMANUEL Macron’s office has announced a new government, after the previous Cabinet collapsed in a historic vote prompted by fighting over the country’s budget.

Newly named Prime Minister Francois Bayrou put together the government that includes members of the outgoing conservative-dominated team and some new figures from centrist or left-leaning backgrounds.

Coming up with a 2025 budget will be the most urgent order of business.

The new government enters office after months of political deadlock and pressure from financial markets to reduce France’s colossal debt.

No single party holds a majority in the National Assembly.

France has been mired in deadlock since Macron gambled on snap elections this summer in the hopes of bolstering his authority. The move backfired, with voters returning a parliament fractured between three rival blocs.

Bayrou’s decades of political experience are seen as key in efforts to restore stability.

Marine Le Pen’s far-right party helped bring down the previous government, and Bayrou’s Cabinet will seek to rely on moderate politicians from right and left to stay in power.

Banker Eric Lombard will be finance minister, a crucial post when France is working to fulfil its promises to European Union partners to reduce its deficit, estimated to reach 6% of its gross domestic product this year.

Lombard briefly worked as an adviser to a socialist finance minister in the 1990s.

Bruno Retailleau stays on as interior minister, with responsibility for France’s security and migration policy.

Sebastien Lecornu, who has been at the forefront of France’s military support for Ukraine, remains defence minister, while foreign minister Jean-Noel Barrot, who has travelled extensively in the Middle East in recent weeks, also retains his post.

Among the new faces are two former prime ministers. Manuel Valls will be minister for overseas affairs, and Elisabeth Borne takes the education ministry.

The unexpected comeback of Valls, premier from 2014 to 2016, as the head of the overseas territories ministry indicates the importance of the post after authorities were strongly criticised for their response to the deadly cyclone on the Indian Ocean territory of Mayotte, which killed at least 35 people.

The announcement came as France observed a day of mourning for the victims in the cyclone-hit Indian Ocean archipelago of Mayotte, France’s poorest overseas territory.

With reporting from AFP