French Q3 GDP Growth Revised Up to 0.6%

The French economy expanded by 0.6 percent on quarter in the three months to September 2017, above the second estimate of 0.5 percent, as government spending increased faster than previously expected. Household consumption was confirmed to rise at a faster pace while fixed investment growth slowed and foreign trade contributed negatively.

The positive contribution to GDP came from changes in inventories (0.5 percentage points), household final consumption expenditure (0.3 percentage points), fixed investment (0.2 percentage points) and government spending (0.1 percentage points); while net trade had a negative contribution of 0.6 percentage points.

Household consumption grew by 0.6 percent in the third quarter, faster than a 0.3 percent expansion in the previous period and government spending increased by 0.6 percent, following a 0.5 percent gain in Q2. Meanwhile, gross fixed capital formation rose by 0.9 percent, easing from a 1.1 percent advance in the previous three-month period.

Imports jumped by 2.6 percent, accelerating from a 0.1 percent gain in the second quarter; while exports rose at a slower 0.8 percent, following a 2 percent increase.

Year-on-year, the economy grew 2.3 percent year-on-year in the third quarter of 2017, above the second estimate of 2.2 percent and following a 1.8 percent expansion in the previous period. It was the strongest pace of expansion since the second quarter of 2011.

French Q3 GDP Growth Revised Up to 0.6%

INSEE | Joana Ferreira |
12/22/2017 9:28:28 AM