The French economy showed signs of modest growth in the first quarter, with household spending playing a key role in driving this expansion. According to INSEE’s quarterly GDP report, the euro zone’s second-largest economy expanded by 0.2% in the first three months of the current year, following a 0.1% growth in the fourth quarter of 2023.
Preliminary data from INSEE statistics agency showed that the French economy grew slightly in the first quarter, surpassing analysts’ expectations. A Reuters poll of 29 economists had forecasted an average growth of 0.1% in GDP for the first quarter, with estimates ranging from 0.0% to +0.2%. However, the actual growth seen in the quarter was higher than expected and aligned with Bank of France’s expectations that were announced in early April.
Household spending growth also picked up in the first quarter, with a 0.4% increase compared to 0.2% in the fourth quarter of 2023. This indicates a positive start to the year for the economy and puts it on a steady path for further growth and development in
