How did Sully improve France’s finances under Henry IV?

Maximilien de Béthune, Duke de Sully, served as the superintendent of finances under Henry IV, playing a critical role in rehabilitating the French economy following the Wars of Religion. His approach focused on optimizing the existing financial system rather than implementing radical reforms.12

Key measures taken by Sully included:

• Administrative Oversight: He eliminated various abuses in tax collection, such as the unauthorized raising of funds by provincial governors, and abolished superfluous public offices.1
• Revenue Management: He enforced the repayment of royal debts and provided the first accurate statements of government finances in many years. He also shifted the tax burden from direct to indirect taxation.2
• The Paulette: In 1604, he introduced the paulette, an annual tax that allowed officeholders to make their positions hereditary by paying one-sixtieth of the original purchase price, which provided the state with predictable, steady revenue.12
• Economic Infrastructure: Sully promoted agriculture, encouraged the free circulation of produce, drained marshlands, and invested in infrastructure like roads and the Briare Canal to stimulate trade.12

Through these efforts, Sully successfully built an annual budget surplus and established substantial financial reserves for the monarchy.2