France’s economy expands at fastest rate for 52 years | Financial Times

4 comments
  1. >***France’s economy expands at fastest rate for 52 years***
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    >France’s economy ended 2021 on a high, outstripping expectations with growth of 0.7 per cent in the final three months of the year and helping the country to achieve its fastest expansion for 52 years.
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    >The national statistics office said average growth in 2021 was 7 per cent, its fastest rate since the high point of “les 30 glorieuses” in 1969, as the economy rebounded sharply from its 8 per cent contraction in 2020 when the coronavirus pandemic first hit.
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    >The eurozone’s second-largest economy returned to its pre-pandemic level of gross domestic product in the third quarter, it said, outstripping most major European countries.
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    >France has been boosted by a sharp rebound in consumer spending after coronavirus restrictions were eased last year. It has benefited from its lower exposure to supply chain bottlenecks that hit manufacturing in neighbouring Germany.
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    >In the fourth quarter, the economy was powered by a 0.4 per cent rise in household spending and a 0.5 per cent increase in investment, while changes in inventories also added 0.4 percentage points to growth. Trade made a negative contribution of 0.2 per cent.
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    >That raised overall output growth above the 0.5 per cent expected by most economists, while marking a deceleration from its 3 per cent growth in the previous quarter.
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    >However, economists expect a further slowdown in the French economy at the start of this year after daily coronavirus cases in the country hit a high of 500,000 this week.
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    >The number of Covid-19 patients in French hospitals has risen above 30,000 for the first time since November 2020.
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    >The government, which plans to loosen coronavirus restrictions next month, previously forecast the economy would grow 4 per cent in 2022.

  2. Wait I thought they predicted 5.9%, then 6.2%, then 6.7%. 7% is incredible, even taking into account the -7.9% drop in 2020.

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