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- French GDP rose by 0.3% in the 4th quarter of 2018
French GDP rose by 0.3% in the 4th quarter of 2018
According to the report from Insee, in Q4 2018, GDP in volume terms grew at the same pace as in Q3: +0.3%. On average over the year, GDP growth slowed down in 2018: +1.5% after +2.3% in 2017.
Household consumption expenditures decelerated (0.0% after +0.4%), likewise total gross fixed capital formation slowed down (GFCF: +0.2% after +1.0%). Overall, final domestic demand excluding inventory changes decelerated: it contributed 0.2 points to GDP growth, after 0.5 points in the previous quarter.
Imports bounced back in Q4 (+1.4% after ?0.3%) and exports accelerated significantly (+2.3% after +0.2%). All in all, foreign trade balance contributed positively to GDP growth again: +0.3 points, after +0.2 points in Q3. Conversely, changes in inventories contributed negatively to GDP growth again (?0.2 points after ?0.4 points).
Production of goods and services decelerated slightly in Q4 2018 (+0.3% after +0.5%). It decelerated significantly in goods (+0.0% after +0.5%), while it remained dynamic in services (+0.5% after +0.5%). Output in manufactured goods halted this quarter (+0.0% after +0.7%). Indeed, production of refineries drew back significantly (?5.3% after +11.3%) due to social movements in November. Furthermore, production of gas and electricity slowed down a little (+0.1% after +0.3%) and construction remained virtually stable (+0.1% after +0.2%).
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