A New Direction?

• A new decade saw a new Gaullist leader

• Georges Pompidou

• However, he became leader as France was starting to enter unsettled economic waters

• Legacy of 1968 events
• Considerable concessions made to striking workers
• Loss of confidence by international investors

• At the end of 1969

• Franc devalued by 12.5%
• A loan of $1billion necessary from IMF and loan guarantees from fellow EEC countries
• Cuts were required to balance the budget