France's brewing political crisis is spilling into financial markets with French borrowing costs hitting the same level as debt-ridden Greece's for the first time.

French borrowing costs effectively matched those of Greece on Thursday for the first time, as Michel Barnier's government teetered on the brink of collapse, underlining a dramatic shift in how lenders view the creditworthiness of euro zone members.

France’s benchmark bond yield matched Greece’s for the first time on record, the latest milestone in a week marked by mounting anxiety over the fate of Prime Minister Michel Barnier’s government.

Borrowing costs for France have hit a 12-year high relative to Germany, and were more than those of Greece for the first time ever