French Prime Minister Manuel Valls attends the opening ceremony of the world Equestrian Games at the d'Ornano stadium in Caen, August 23, 2014. Photo: Reuters
France's Prime Minister Manuel Valls presented the resignation of his government to the president on Monday, Francois Hollande's office said in a statement.
The statement said a new government would be formed on Tuesday in line with the "direction he (the president) has defined for our country."
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.