Investment in France
France - Investment
Growth sustains its momentum amid upbeat household spending in Q3
The economy grew a seasonally-adjusted 0.3% quarter-on-quarter in the third quarter, landing on Consensus and matching the expansions recorded in the previous two quarters according to a first estimate released by the French Statistical Institute (INSEE) on 30 October. However, on an annual basis, growth inched down from the previous quarter (Q3: +1.3% year-on-year; Q2: +1.4% yoy).
Household spending accelerated (Q3: +0.3% quarter-on-quarter seasonally-adjusted; Q2: +0.2% qoq s.a.) amid a sharp pick-up in consumer sentiment, an over one-decade low unemployment rate and subdued inflation, while government spending sustained its momentum (Q3: +0.4% qoq s.a.; Q2: +0.4% qoq s.a.). On the flipside, household investment nearly stagnated despite low interest rates, although business investment edged up. Consequently, overall fixed investment growth slowed to 0.9% on a quarter-on-quarter, seasonally-adjusted basis (Q2: +1.2% qoq s.a.).
Exports returned to growth in the third quarter (Q3: +0.3% qoq s.a.; Q2: -0.1% qoq s.a.), despite the industrial pullback across the Eurozone. Similarly, imports rebounded markedly (Q3: +1.4% qoq s.a.; Q2: -0.3% qoq s.a.). Taken together, the external sector subtracted 0.4 percentage points from the overall expansion, following a neutral contribution in Q2.
FocusEconomics analysts see growth at 1.2% in 2020, which is unchanged from last month’s forecast, and at 1.3% in 2021.
France - Investment Data
|Investment (annual variation in %)||-0.7||0.0||0.9||2.5||5.0|
5 years of economic forecasts for more than 30 economic indicators.
|Bond Yield||-0.37||0.46 %||Sep 04|
|Exchange Rate||1.10||0.65 %||Sep 04|
|Stock Market||5,532||-0.29 %||Sep 04|
Get a sample report showing our regional, country and commodities data and analysis.
Request a Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.
November 14, 2019
Consumer prices saw no month-on-month growth in October, following September’s 0.3% fall, according to a second estimate by the Statistical Institute (INSEE).
November 8, 2019
Seasonally-adjusted industrial production rose 0.3% month-on-month in September, contrasting August’s 0.9% decline.
November 6, 2019
The seasonally-adjusted IHS Markit Flash Composite Purchasing Managers’ Index (PMI) rose to 52.6 in October, rebounding from September’s 50.8.
October 31, 2019
Consumer prices dipped 0.1% month-on-month in October, up slightly from September’s 0.3% fall, according to a preliminary estimate by the Statistical Institute (INSEE).
October 30, 2019
In October, consumer sentiment in France remained stable at September’s 104, after nine consecutive months of increase according to the French Statistical Institute (INSEE).