In the first quarter of 2023, France’s economy grew slightly, beating analysts’ expectations. The euro zone’s second-largest economy saw a 0.2% growth in the first three months of the current year, following a 0.1% growth in the fourth quarter of 2023, as reported in INSEE’s quarterly GDP report.
Household spending growth also accelerated to 0.4% in the first quarter compared to 0.2% in the fourth quarter of 2023, indicating a positive trend. A Reuters poll of 29 economists had forecasted an average growth of 0.1% in gross domestic product (GDP) for the first quarter, with estimates ranging from 0.0% to +0.2%. Despite these predictions, France observed a growth rate that aligned with the Bank of France’s expectations announced in early April.
The positive growth in the French economy during the first quarter is an encouraging sign, especially given the challenges posed by global economic conditions. Analysts will continue to monitor economic indicators to assess the overall health and resilience of the French economy in upcoming months.
Overall, this preliminary data indicates that France’s economy is growing at a steady pace and is showing signs of resilience despite global economic challenges.
