The global economy showed signs of recovery at the beginning of 2017, despite a collection of political uncertainties including crucial elections in Europe and future decisions by the new American President. Driven by activity in American and emerging markets, INSEE is forecasting global growth of 4.2%. The Eurozone has benefited from these improvements (growth at 0.4% over Q4 2016) with an increase in private consumption and exports, which have been boosted by the euro’s depreciation against the dollar. However, the inflationary risk, due in particular to fluctuations in oil prices (+2% in the Eurozone in February 2017), could have an impact on householder purchasing power.
France started the year with GDP growth of 0.3% over Q1. Even though this is a low level, it was still the third consecutive quarter of positive growth. Forecasts indicate 0.5% growth over the second quarter which should bring France in line with performances seen in other Eurozone countries and developed economies.
Source : Cushman & Wakefield