French Q4 GDP Growth Revised Up to 0.7%

The French economy grew by 0.7 percent on quarter in the three months to December of 2017, beating earlier estimates of 0.6 percent and following a 0.5 percent expansion in the previous quarter. Exports rose faster than initially thought.
Insee l Rida Husna | 3/26/2018 7:38:04 AM
In the fourth quarter, positive contribution to GDP growth came from net trade (0.7 percentage points), fixed investment (0.3 percentage points) and household spending (0.1 percentage points). Meanwhile, changes in inventories had a negative contribution of 0.4 percentage points.

Exports grew by 2.5 percent, faster than a 2.4 percent gain previously estimated and much stronger than a 1 percent increase in the preceding quarter; while imports rose by only 0.3 percent, after a 2.2 percent growth in the previous period.

Gross fixed capital formation rose 1.1 percent, compared with a second estimate of 1.2 percent and after a 0.9 percent rise in the September quarter. Meanwhile, household consumption increased by 0.2 percent (vs 0.5 percent in Q3) and government expenditure went up by 0.3 percent (vs 0.6 percent in Q3). 

Year-on-year, the GDP rose by 2.5 percent, following a 2.3 percent increase in the third quarter. It was the fastest pace of expansion since the first quarter of 2011.

For full 2017, the economy expanded by 2 percent, its best performance since 2011, compared with 1.1 percent in 2016. 

French Q4 GDP Growth Revised Up to 0.7%