Our website use cookies to improve and personalize your experience and to display advertisements(if any). Our website may also include cookies from third parties like Google Adsense, Google Analytics, Youtube. By using the website, you consent to the use of cookies. We have updated our Privacy Policy. Please click on the button to check our Privacy Policy.

French economy officially in recession, worst performance since 1945

Reading Time: < 1 minute

In its worst performance since 1945, the French economy shrank around six percent in the first quarter of this year as the coronavirus pandemic decimated business activity, the Bank of France said Wednesday.

Official figures showed previously that the economy shrank 0.1 percent in the last three months of 2019, meaning that with two consecutive quarters of negative growth, the country is now technically in recession.

The French central bank said that in the last two weeks of March, as the coronavirus crisis deepened, economic activity plunged 32 percent.

For every two weeks the country is locked down by the virus, the Bank of France expects the economy to shrink by 1.5 percent.

At the same time it cautioned against a simple, straight-line extrapolation of the estimates since the situation is developing.

The current lockdown began March 17 and has been extended by two weeks to April 15 but the authorities have suggested this could be kept in place longer if the virus shows no sign of at least levelling off.

Among the worst affected sectors of the economy, the Bank of France listed construction, transport, restaurants and lodging.

Via France 24

%d bloggers like this: