France GDP Growth Matches Expectations in Q3

France GDP advanced 0.2 percent quarter-on-quarter in the September quarter of 2016, compared to a 0.1 percent contraction in the three months to June and in line with second estimate, final figure showed. Growth was driven by private consumption, government spending and investment while net external demand contributed negatively to the economy.

In the third quarter, household consumption grew by 0.1 percent, after showing no increase in the previous quarter. Government expenditure rose 0.3 percent, compared to 0.4 percent rise in the preceding quarter. Total gross fixed capital formation rose 0.3 percent, following a stagnation in the June quarter. Final domestic demand (excluding changes in inventories) contributed 0.2 points to GDP growth.

Exports increased by 0.7 percent, faster than a 0.1 percent rise in the second quarter. Imports also went up 2.5 percent, following a 1.5 percent contraction in the preceding quarter. The foreign trade balance contributed negatively to the economy (-0.6 points after +0.5 points in the second quarter).  In contrast, changes in inventories contributed positively: +0.6 points after -0.8 points in the June quarter.

Year-on-year, the GDP grew by 1.0 percent, slower than a 1.3 percent expansion in the second quarter and slightly less than second estimate of a 1.1 percent growth.

France GDP Growth Matches Expectations in Q3

Insee l Rida Husna |
12/23/2016 11:56:11 AM