French 2Q07 GDP growth slows to 0.3%

Aug 15, 2007 - Analysts at ING Financial Markets say that French GDP growth slowed sequentially in the second quarter.

In a research note published this morning, the analysts mention that French GDP growth in 2Q07 was 0.3%, lower than the 0.5% in 1Q07. The two main reasons for the downturn were a decline in the investment rate and a 2.1% rise in imports, the analysts say. The industrial sector in France remains weak, although private consumption stayed robust at +0.6% q/q, ING Financial Markets adds. The analysts estimate the French economy to grow by around 2.1% in the full year.