Former Bank of France Chief Warns Rising Debt Rate Could Hit Home Loans
Listen to the story
France's debt interest rate has gone up to 5%. A former governor of the Bank of France is worried about this. He fears it could cause problems for home loans too.
The interest rate is the extra money a country pays back when it borrows money. When this rate goes up, it costs more for the government to borrow. The former governor worries this problem could spread. This spreading is called contagion.
He thinks banks might soon charge people more for home loans. This would make it harder for people to buy houses.
At the same time, there is social anger in France. People are unhappy about the economy. This happened just before the Christmas sales season. Bad news is building up for the French economy.
Some experts say France is now the weak part of Europe when it comes to debt. This means France has more money problems than other European countries right now.
Vocabulary4 words
- former
- not now; before this time
- home loans
- money a bank gives you to buy a house
- borrows
- takes money and pays it back later
- contagion
- a problem that spreads to other places
📚 Ready to use these words in a real conversation?
Practice live with a real tutor on Preply.
Quiz
Answer key
1. Rising debt rates spreading to home loans 2. It has risen to 5% 3. True
✅ Nice work on the quiz!
Keep the momentum going — book a live English lesson with a Preply tutor.
Fill-in-the-blank listening
Play the audio again and fill in the missing words as you listen.
France's debt interest rate has gone up to _____.
A former governor of the Bank of France is _____ about this.
He fears it could cause problems for _____ too.
The interest rate is the extra money a country pays back when it _____ money.
The former governor worries this problem could _____.
He thinks banks might soon charge people more for _____.
There is social _____ in France right now.
This happened just before the Christmas _____ season.
Some experts say France is now the _____ part of Europe.
This means France has more money _____ than other European countries.
🎓 Enjoyed this story?
Turn today's reading into real speaking practice with a live Preply tutor.
