France GDP Growth Confirmed at 0.3% QoQ in Q4


France economy advanced 0.3 percent in the fourth quarter of 2015, following an upwardly revised 0.4 percent expansion in July to September period and matching preliminary estimates. A faster increase in government expenditure and investment was able to offset a decline in household spending and net exports.

In the fourth quarter of 2015, households final consumption expenditure contracted 0.1 percent (after +0.4 percent in the September quarter). In contrast, government expenditure grew by 0.5 percent, following a 0.4 percent expansion in the previous quarter. Total gross fixed capital formation expanded 0.7 percent, after growing 0.1 percent in the third quarter. Non-financial corporations' gross fixed capital formation rose 1.2 percent, as compared to a 0.5 percent rise in the preceding quarter. Final domestic demand (excluding changes in inventories) contributed +0.2 points to GDP growth (after +0.3 points in the previous three months. 

Exports increased by 1.1 percent, reversing from a 0.2 percent fall in the third quarter. Imports grew by 2.4 percent, accelerating from a 1.8 percent growth in the third quarter. That brought the foreign trade balance contributed negatively to the economy (-0.4 points after -0.6 points in the September quarter). In contrast, changes in inventories contributed positivevely to GDP growth (+0.6 points after +0.7 points).

Year-on-year, the French economy advanced by 1.4 percent, as compared to a 1.1 percent expansion in the September quarter and in line with expectations.

For full year of 2015, the economy expanded 1.2 percent, slightly higher than preliminary estimates of 1.1 percent. A year earlier, GDP growth was recorded at 0.2 percent.

France GDP Growth Confirmed at 0.3% QoQ in Q4


Insee l Rida Husna | rida@tradingeconomics.com
3/25/2016 12:06:02 PM