As depicted in the manga, the future nation of France is a highly degraded state entity, with smaller territorial boundaries and diminished importance on the world stage. While the political system employed in the 2120s isn't made clear, like today, the country generates meagre revenue through trade with the Middle East, selling weapons and other industrial technology to the Republic of Munma, much to the chagrin of Olympus.
Along with Imperial Americana it is one of the few post World War nations left on Earth that still favors state militarism, with a large percentage of internal revenue spent on its army and airforce. Both are considered antiquated by the standards of modern, developed nations Olympus and Poseidon, but credible enough to cause further unrest in Europe or South of the Mediterranean, Africa. Olympus has long had intelligence agents embedded in the country in the hopes of predicting future war efforts.
When it was suspected that a military alliance was being drawn up by the leaders of France and Munma, Operation Benandanti was put into effect, to preemptively strike Paris, and demonstrate Olympuses' global supremacy and anti-war agenda.
It appears that the state still has enough of an established government to enforce some level of tax collection, but is unable to sustain itself strictly through these means. ES.W.A.T.'s intelligence gathering efforts have revealed that an extensive, government controlled drug smuggling operation ships contraband throughout much of the world for national profit. Following the strikes of Operation Benandanti, it was also shown that human smuggling and slave-trading are two other major sources of income.