The resilience of French growth appears to be reaching its limits
France's economic growth has been revised downward to -0.1% for the first quarter of 2026, indicating potential limits to its previously praised resilience. Inflation has also increased, rising from 1% in February to 2.4% in April. Despite these challenges, officials suggest that the downturn may not signal an impending recession and could be influenced by temporary factors.
- ▪France's first-quarter economic performance has been revised from 0.0% to -0.1%.
- ▪Inflation rose from 1% in February to 2.4% in April.
- ▪Finance Minister Roland Lescure stated that the government remains vigilant but not alarmist.
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Paris, March 12, 2026. ALAIN JOCARD/AFP France's first-quarter economic performance, already disappointing in the initial estimate published on April 30 at 0.0%, has been revised downward to –0.1% by the National Institute of Statistics and Economic Studies (INSEE) on Friday, May 29. This suggests that the much-lauded resilience of French growth, often praised by policymakers and economists since the Covid-19 pandemic, may now be hitting its limits, as inflation continues to accelerate. Prices, which rose 2.2% in April, have now climbed to 2.4%, according to INSEE. In February, before the war in the Middle East began, inflation stood at just 1%.
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