Open

Coming up

Don't miss

Replay


LATEST SHOWS

AFRICA NEWS

Search of Air Algerie crash site continues

Read more

MEDIAWATCH

Sarkozy, Hollande and the scooter wars

Read more

MEDIAWATCH

Confusion online over Air Algérie flight

Read more

THE WORLD THIS WEEK

The World This Week - July 25th, 2014 (part 2)

Read more

THE WORLD THIS WEEK

The World This Week - July 25th, 2014

Read more

REPORTERS

Halal tourism on the rise

Read more

ENCORE!

Tunisia's Carthage International Festival turns 50

Read more

FRANCE IN FOCUS

WWI Centenary: the battle for Verdun

Read more

THE BUSINESS INTERVIEW

When big companies want to do good

Read more

  • In pictures: Debris and devastation at Air Algérie Flight AH5017 crash scene

    Read more

  • Kerry heads to Paris for new round of Gaza peace talks

    Read more

  • Video: No investigation apparent at site of downed Malaysian plane

    Read more

  • Washington Post correspondent and his wife arrested in Iran

    Read more

  • Paris bans new Gaza protest scheduled for Saturday

    Read more

  • Tour de France fans bring the ambience to the Pyrenees

    Read more

  • French families grieve for Algerian plane crash victims

    Read more

  • Protest against Gaza offensive turns deadly in West Bank

    Read more

  • Halal tourism on the rise

    Read more

  • LA Times wipes France off the map in air crash infographic

    Read more

  • Lithuania’s Navardauskas wins 19th stage of Tour de France

    Read more

  • French lawyer files complaint against Israel at ICC

    Read more

  • Ukraine names acting PM after Yatseniuk's shock resignation

    Read more

  • BNP to pay $80 million for defrauding Dept of Agriculture

    Read more

  • Deadly strike on UN shelter in Gaza Strip

    Read more

  • Pope meets Christian woman sentenced to death in Sudan

    Read more

Growth slows towards recession

Latest update : 2008-10-14

French economic growth in the third quarter will drop to minus 0.1%, according to the Bank of France, signalling a recession.


   
The Bank of France downgraded its forecast for French economic growth in the third quarter to minus 0.1 percent on Tuesday from plus 0.1 percent estimated a month ago, signalling a recession.
   
Since the official statistics institute INSEE has already reported that the economy contracted by 0.3 percent in the second quarter of this year, the latest forecast sets France on course for a recession, defined as two quarters running of contraction.
   
The Bank of France said in a statement on Tuesday that if the economy does contract by 0.1 percent as it expects in the third quarter, the growth assured for the whole year, provided there is no further contraction, would be 0.9 percent.
   
On Wednesday, the International Monetary Fund revised down sharply its forecast for growth of French gross domestic product to 0.8 percent for the year.
   
Finance Minister Christine Lagarde has put growth for 2008 at about 1.0 percent.
   
The central bank also published its monthly index of industrial confidence which slumped to 87 in September from 94 in August.
   
The survey, carried out before the worst of the global financial crisis in the last two weeks, showed that industrial activity had slowed down markedly in September and the flow of new orders placed, both from inside France and abroad, had fallen.
   
Total orders in the books were lower than usual, stocks of finished goods had increased and were higher than desired, the industrialists said.
   
They forecast a continued slowing of activity in the short term.
  

Date created : 2008-10-14

COMMENT(S)