The government forecast an increase of 1.4% of GDP over the whole of the year. In 2015, the growth was determined to be 1.2 %.
This figure is significantly below the government’s forecast, which called for an increase of 1.4% of GDP over the whole of the year. In 2015, the growth was determined to be 1.2 %.
The minister of economy and finance Michel Sapin has, nevertheless, estimated on Tuesday that the economic growth showed an activity ” dynamic “ and ” has helped to reduce unemployment, while reducing the public deficit “. the ” This is the sign of a recovery, which installs sustainable and, most importantly, which takes the magnitude “, said Mr. Sapin, insisting on the good results of the fourth quarter.
On the last three months of the year, the GDP growth has amounted to 0.4 %, which is twice more than in the previous quarter, supported by an upturn in consumption (+0.6 %) and business investment (+1.3 per cent). the ” The confidence of households, such as heads of business is located at high levels, and promises a start to the year 2017 to be very dynamic, both in terms of activity and employment creation “, adds the minister, in a reaction sent to AFP.
In detail, the consumption expenditure of households, which contribute traditionally to the strength of the activity, increased 1.8 % last year, after 1.4% in 2015. Business investment, another engine which is indispensable to a sustainable recovery of the activity, for its part, has increased by 4.3 %, which is twice more than the previous year (+2 %).
According to the Insee, this dynamic is expected to continue into 2017. The public body expects a growth of 0.3 % and then 0.4% in the first and second quarter of 2017, thanks in particular to the good performance of exports.
The unemployment rate should decline slightly, to reach out to mid-2017, 9.5% of the active population in france and 9.8 % with the overseas, thanks to a number of jobs created sufficient to absorb the increase of the active population.
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