French Economic Growth Expected to Flatline

PARIS (Reuters) – French economic growth will flatline in the final three months of the year, according to the central bank's monthly outlook released on Tuesday.

A slowdown follows the 0.4% economic growth in the third quarter, which was driven by an influx of tourists due to the Olympics in Paris and increased broadcasting rights revenue.

The Bank of France, based on its monthly survey of 8,500 executives, noted that while business activity is projected to remain slightly positive in the fourth quarter, order books are below long-term levels in most industrial sectors, except aviation. Executives expressed high uncertainty regarding economic outlooks, affected by volatile domestic politics and the upcoming U.S. elections.

Additionally, executives reported that price pressures have returned to normal levels after continuous increases in recent years, while the difficulties in finding staff are easing.