Overview

• Insee projects GDP growth of just 0.6 percent in 2025, down from 1.1 percent in 2024
• Unemployment rate projected to climb from 7.4 percent to 7.7 percent by year’s end as 210,000 salaried jobs are lost
• Household consumption is forecast to rise a modest 0.7 percent as the savings rate holds near 18.2 percent
• Corporate investment is expected to shrink by 0.5 percent, an easing from a 1.3 percent decline in 2024
• Foreign trade will subtract 0.7 percentage point from growth after having supported output in 2023 and 2024