Expert Chaslau Koniukh
  • Companies
  • Global investment
  • Investors
  • Terminology
  • Economy
  • Stock Market
  • World exchanges
  • Tech and Marketing
The French economy
Economy

The French economy will slow down: a forecast of the situation

29.10.2022
2 min read

The French economy suffers from rising inflation

The French economy, as well as a number of other EU countries, is in a very precarious position. The head of the Central Bank said that in 2023 the state may face a recession, which will cause a significant decline in the economy. However, even if these pessimistic forecasts come true, we should not expect such a drop in GDP, which the country faced in 2020. Back then, the pandemic caused a record decline for France.
According to analysts, next year the economy will grow by 1.4%, but it is possible that this forecast will be revised in the near future. The French government is due to present an updated draft law for the financial sector to the public one of these days. It contains controversial clauses, which may force experts to downgrade the economic growth forecast.
One of the main problems for the European Union remains the rapid increase in inflation. To slow it down, the European regulator announced an increase in the key interest rate – it will rise by 75 bp. In addition, the central bank said the rate will increase in the future. This decision sparked discontent in some countries. Thus, the finance ministers of France and Germany met to discuss the implications of higher interest rates and develop measures that would reduce the pressure on households. In addition, the issue of high gas prices, which have a negative impact on business development in the countries, remains acute. In this regard, the governments of France and Germany have developed measures to support local companies. According to them, business representatives will be allocated several billion euros, which will reduce the impact of rising inflation.The French economy will slow downHowever, this package of measures from the French and German politicians caused mixed reactions among experts. Some of them believe that such a move could on the contrary stimulate an increase in inflation, thereby introducing the economy into even greater difficulties.
As for the current situation in the French economy, consumer prices rose by nearly 6% last month in annual terms. At the same time, the rate of inflation has slowed down, which was caused by the weakening of energy prices on the world market. First of all, the growth slowdown was observed in prices for gas and oil products. The level of the core inflation amounted to 4.7%, and the dynamics of energy prices went down by almost 23%, though in the previous month it reached 28.5%. The cost of the market of services continued to increase – up to 4%. Foodstuffs showed an increase of 7.9%, and goods of the industrial sector – by 3.5%. Overall, according to the government, the economic situation in France is under control.

Tags: Economy
0
Previous Post Donald Trump: the most scandalous American president Next Post The British government wants to create a crypto hub in London

You Might Also Like

revise the legislation
Economy
South Korea plans to revise legislation to improve relations with DPRK
13.03.2021
German bank
Economy
German bank Deutsche Bank published scenarios of the world economy development
02.04.2021
Forecast of global economic growth
Economy
Global economic growth forecast by World Bank experts
17.04.2022
2% tax increase
Economy
How will the Japanese economy and population be affected by the 2% tax increase?
08.12.2020
minimum wage in Lithuania
Economy
The minimum wage in Lithuania will increase in 2025
17.11.2024
Countries with different economies
Economy
How countries with different economies live: overview of Germany
21.06.2020

Popular Posts

  • Li Ka Shing: How can success be achieved without money and education?
  • Skolkovo analysts: the Russian energy market is suffering losses
  • Ingeborg Mootz: a woman who became a stock player at the age of 75
  • Analysts: Egypt’s economy to continue falling in 2023

Editor's Picks

Chaslau Koniukh
Analytics

American bankers from JPMorgan and Goldman Sachs advise to invest in gold: review by Chaslau Koniukh.

Press Secretary
17.08.2020
Expert Chaslau Koniukh
Analytics

Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Press Secretary
18.06.2020
expert Chaslau Koniukh
Analytics

Chaslau Koniukh: Internet trade market in Russia may reach 2.78 trillion rubles.

Press Secretary
30.05.2020
Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh
Analytics

Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh

Press Secretary
16.05.2020

Popular Posts

  • Li Ka Shing: How can success be achieved without money and education?
  • Skolkovo analysts: the Russian energy market is suffering losses
  • Ingeborg Mootz: a woman who became a stock player at the age of 75
  • Analysts: Egypt’s economy to continue falling in 2023
  • Businessman Chuck Feeney: the man who gave the world Duty Free
Expert Chaslau Koniukh
  • Facebook
  • Twitter
  • Instagram

© 2024 CHASLAU KONIUKH. ALL RIGHTS RESERVED. Expert in marketing and project management, international investments, financial analyst.

Menu

  • Biography
  • Companies and corporations
  • Global investment
  • Investors and Entrepreneurs
  • Economy
  • Market terminology
  • Stock Market
  • World exchanges
  • Tech and Marketing
  • Analytics