French government resigns, President orders new Cabinet to be formed

French government resigns, President orders new Cabinet to be formed
France's President Francois Hollande (R) and Prime Minister Manuel Valls (L) at the Elysee presidential palace in Paris.

PARIS - France's Prime Minister Manuel Valls presented the resignation of his government to President Francois Hollande on Monday, Mr Hollande's office said in a statement, throwing France into fresh chaos.

Mr Hollande ordered Mr Valls to form a new Cabinet on Tuesday, "consistent with the direction he (Mr Hollande) has set for the country", the presidency said in a statement.

It did not give any reasons.

The move comes a day after leftist Economy Minister Arnaud Montebourg called for new economic policies and questioned what he called Germany's "obsession" with budgetary rigour. Mr Montebourg spent his weekend bad-mouthing the country's economic direction and ally Germany in a much-criticised show of insubordination.

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