PARIS: France’s economy expanded at a faster pace in the fourth quarter on consumption and investment, the first estimate from the statistical office Insee reported.
Reportedly, gross domestic product grew 0.4 percent sequentially, following a 0.2 percent expansion seen in the third quarter. The quarterly growth came in line with expectations. The growth in household spending accelerated to 0.6 percent from 0.1 percent and that in investment improved to 0.8 percent from 0.3 percent.
Similarly, exports moved up 1.1 percent versus 0.5 percent in prior quarter. Meanwhile, imports growth slowed to 0.8 percent from 2.5 percent. All in all, the foreign trade balance contributed slightly to GDP growth, by 0.1 points. Conversely, changes in inventories contributed negatively by 0.2 points.
On an average, GDP expanded 1.1 percent in 2016 after rising 1.2 percent in 2015. Without working day adjustment, GDP growth came in at 1.2 percent in 2016 versus 1.3 percent in 2015.
