The contraction was partly attributed to the fading financial enhance from the Paris Olympic and Paralympic Video games, which had fueled development within the previous quarter, INSEE famous.
PARIS, March 1 (Xinhua) — France’s gross home product (GDP) contracted by 0.1 % in quantity phrases within the fourth quarter (This autumn) of 2024, following a 0.4 % improve within the earlier quarter, the French Nationwide Institute of Statistics and Financial Research (INSEE) introduced on Friday.
The contraction was partly attributed to the fading financial enhance from the Paris Olympic and Paralympic Video games, which had fueled development within the previous quarter, INSEE famous.
In This autumn 2024, family consumption slowed barely, with a decline in companies consumption, whereas items consumption continued to rise, INSEE reported. Regardless of this, closing home demand, excluding inventories, contributed positively to GDP development within the quarter.
Relating to commerce, France’s exports rebounded from a 0.8 % decline within the third quarter to a 0.4 % improve in This autumn. Imports additionally returned to development, rising by 0.4 % after a 0.3 % decline within the earlier quarter. Nevertheless, the general contribution of overseas commerce to GDP development was impartial, INSEE stated.
For the complete 12 months of 2024, France’s GDP grew by a mean of 1.1 %, the institute confirmed.
In response to an financial and monetary evaluation by ING, ending 2024 with a GDP contraction alerts a weak carry-over impact for 2025, making the federal government’s forecast of 0.9 % development for the 12 months troublesome to attain.
ING projected “very weak development within the first quarter of 2025” and forecast that GDP would broaden by solely 0.6 % over the 12 months.
Although a restoration is anticipated in 2026, given the difficult worldwide surroundings and France’s restrictive fiscal coverage, development may stay restricted to 1 %, ING added. ■
