PARIS (Reuters) – The French economy is expected to end the year with barely positive growth in the fourth quarter, according to an estimate released on Thursday by the Banque de France.
The gross domestic product (GDP) of France, the second largest economy in the euro zone, should thus progress by 0.1% during the last three months of the year compared to the previous quarter, after a growth of 0.2% over the July-September period.
In its monthly economic survey carried out among approximately 8,500 companies, the Banque de France evokes for December a contrasting evolution of activity according to the sectors, with “a new progression in services, stability (…) in the industry and a decline in construction”.
This study also shows an easing of tensions on supply chains.
“Supply difficulties continue to decline in November in industry (41%, after 43%) and construction (36%, after 41%), and are now significantly below their spring 2021 levels”, writes the Bank of France.
The proportion of companies reporting recruitment difficulties also fell while remaining high, at 53% against 55% the previous month.
(Written by Leigh Thomas, French version Bertrand Boucey, edited by Nicolas Delame)
Copyright © 2022 Thomson Reuters