The recovery seems to be confirmed. Growth in France was + 0.5% in the 1 st quarter 2016, according to data released by INSEE Friday, after + 0.3% in the last quarter of 2015. The acquired growth 2016 (its level if the economy stagnated by the end of December) is already 1% after three months. A figure that confirms government forecasts, which expects 1.5% for this year.
Particularly dynamic, household consumption increased 1.2%, the highest since late 2004. The consumption in “manufactured goods” and experiencing a true rebound (+ 2.4%), particularly for housing equipment, automobiles and clothing. With temperatures “closer to seasonal norms “, the power consumption is also recovering at 1 st quarter (+ 1.5%). Moreover, after the end of 2015 marked by the November attacks, the household consumption of services returns in the green, with an increase noted in the accommodation and food services (+ 1.0% after -0.7%) .
This rebound in private consumption, combined with the acceleration of business investment (+ 1.6%), leading ultimately to a strong increase in domestic demand. The latter compensates the foreign trade deficit which, again, negatively weighs on growth.
After three years of “supply policy” (CICE, responsibility pact), companies, including the margin was 31.5% in late 2015, and seem determined to increase their investment, including, according to INSEE, in the manufactured goods sector (capital goods, transport equipment) and in market services. The construction sector, however, continues to stagnate (-0.1%).
No comments:
Post a Comment