France: Bad Surprise, Why Growth Was Zero in the First Quarter

According to Insee, France's gross domestic product remained stable in the first quarter of 2026, with zero growth attributed to a decline in household consumption (-0.1%), investment (-0.4%), and foreign trade (-0.7%). Inflation reached 2.2% due to rising energy prices, exacerbated by international uncertainty from the wars in Ukraine and Iran. The government maintains an annual growth forecast of 0.9% for 2026, but this goal appears uncertain with a growth acquisition limited to 0.5% at the end of the first quarter.