Overview

• France's GDP grew by 0.1% in Q1 2025, following a 0.1% contraction in Q4 2024, avoiding a technical recession.
• The slight growth was primarily fueled by a 0.5 percentage-point boost from inventory accumulation as companies stocked up.
• Household consumption and final domestic demand were stagnant, reflecting ongoing consumer spending challenges.
• Investment, measured by gross fixed capital formation, declined by 0.2%, indicating continued reluctance to invest.
• Foreign trade negatively impacted growth, with exports falling 0.7% and imports rising 0.4%, subtracting 0.4 percentage points from GDP.