The French economy advanced 0.1 percent in the fourth quarter of 2014, slowing from a 0.3 percent growth in July to September period, as a rebound in net exports was unable to offset a slowdown in consumption and a decline in investment.
According to official preliminary reports by INSEE, households’ consumption expenditure increased 0.2 percent in the last quarter after a 0.3 percent rise in the previous period. Government expenditure grew 0.4 percent after a 0.6 percent expansion in the third quarter. Total gross fixed capital formation declined further (-0.5 percent following a 0.6 percent contraction). Final domestic demand (excluding changes in inventories) improved slightly and contributed 0.1 points to GDP growth (after 0.2 points in the preceding quarter).
Exports accelerated significantly (+2.3 percent after 0.7 percent) while imports increased (+1.7 percent after a 1.3 percent increase). Consequently, the foreign trade balance contributed positively to GDP (+0.1 points after -0.2 points in the previous quarter). Changes in inventories contributed negatively to GDP growth (-0.2 points after +0.3 points in the preceding quarter).
For full year of 2014, the GDP advanced 0.4 percent, matching the growth rate in the preceding year.
2/13/2015 11:47:52 AM