The gross domestic product (GDP) of France was contracted by 0.1 % in the fourth quarter, undergoing the backlash of the Olympic and Paralympic Games in Paris, the INSEE indicated Thursday, January 30, but it progressed by 1, 1 % in 2024, in accordance with its forecast.
Between October and December, a period marked by the fall of the Barnier government, economic growth was penalized by the slowdown in household consumption ( + 0.4 % after + 0.6 %), especially in services, while it Ci had supported the increase of 0.4 % of the GDP observed in the third quarter.
Investments fell 0.1 %, less strongly than during the summer (-0.3 %): those of companies remained stable while on the household side, they fell by -0.3 %(after – 0.7 %).
In total, the final domestic demand (excluding stocks) increased by 0.3 points (after + 0.4) in the fourth quarter. The contribution of foreign trade has been negative (-0.2 point after -0.1 in the third quarter), imports that have rebounded in the face of declining exports.
0.9 % growth planned in 2025
Over the age of 2024, French economic growth reached 1.1 %, as planned by INSEE and the government. It was fired by foreign trade (+ 0.9 points after 0.6) while the final domestic demand has slowed down (+ 0.7 points after 0.9).
For 2025, the government of Prime Minister François Bayrou lowered its growth forecast from 1.1 % to 0.9 %. For its part, INSEE counts on an increase of 0.2 % of GDP in the first and second quarters, horizon of its forecasts.