France’s central bank will today announce the country’s final third quarter GDP growth rate.
The French economy is expected to have expanded 0.3% in the three months to September, about the same pace as in the previous two periods but above market estimates of 0.2%. Analysts expect this growth to be reflected by increases in household consumption, government spending and fixed investment.
Comparatively, these numbers are good news for France. Largely due to the US-China trade war and Brexit uncertainties, many eurozone economies saw disappointing numbers last quarter, compounding fears of recession. In contrast to the export-dependent German economy, the French economy’s strong services industry and domestic consumption have proved anchors of stability.
Although turning inward appears to be the most prudent economic strategy in the current global economic environment, continued reliance on a service-weighted economy will not completely shield France from the effects of a full global recession in the long-term. Paris faces a need to supplement its current economic management with structural reform—namely, by implementing more self-sufficient budget policies—to substitute for monetary policy in a future time of crisis.
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Nick is the Director of the Daily Brief and a contributing Senior Analyst to it. An attorney, his areas of expertise include international law, international and domestic criminal law, security affairs in Europe and the Middle East, and human rights.