France Economy - 2022

GEOGRAPHICAL NAMES 

Economic overview

The French economy is diversified across all sectors. The government has partially or fully privatized many large companies, including Air France, France Telecom, Renault, and Thales. However, the government maintains a strong presence in some sectors, particularly power, public transport, and defense industries. France is the most visited country in the world with 89 million foreign tourists in 2017. France's leaders remain committed to a capitalism in which they maintain social equity by means of laws, tax policies, and social spending that mitigate economic inequality.

 

France's real GDP grew by 1.9% in 2017, up from 1.2% the year before. The unemployment rate (including overseas territories) increased from 7.8% in 2008 to 10.2% in 2015, before falling to 9.0% in 2017. Youth unemployment in metropolitan France decreased from 24.6% in the fourth quarter of 2014 to 20.6% in the fourth quarter of 2017.

 

France’s public finances have historically been strained by high spending and low growth. In 2017, the budget deficit improved to 2.7% of GDP, bringing it in compliance with the EU-mandated 3% deficit target. Meanwhile, France's public debt rose from 89.5% of GDP in 2012 to 97% in 2017.

 

Since entering office in May 2017, President Emmanuel MACRON launched a series of economic reforms to improve competitiveness and boost economic growth. President MACRON campaigned on reforming France’s labor code and in late 2017 implemented a range of reforms to increase flexibility in the labor market by making it easier for firms to hire and fire and simplifying negotiations between employers and employees. In addition to labor reforms, President MACRON’s 2018 budget cuts public spending, taxes, and social security contributions to spur private investment and increase purchasing power. The government plans to gradually reduce corporate tax rate for businesses from 33.3% to 25% by 2022.

Real GDP (purchasing power parity)

$2.832 trillion (2020 est.)

$3.082 trillion (2019 est.)

$3.037 trillion (2018 est.)

note: data are in 2017 dollars

Real GDP growth rate

1.49% (2019 est.)

1.81% (2018 est.)

2.42% (2017 est.)

Real GDP per capita

$42,000 (2020 est.)

$45,800 (2019 est.)

$45,300 (2018 est.)

note: data are in 2017 dollars

GDP (official exchange rate)

$2.716 trillion (2019 est.)

Inflation rate (consumer prices)

1.1% (2019 est.)

1.8% (2018 est.)

1% (2017 est.)

Credit ratings

Fitch rating: AA (2014)

Moody's rating: Aa2 (2015)

Standard & Poors rating: AA (2013)

note: The year refers to the year in which the current credit rating was first obtained.

GDP - composition, by sector of origin

agriculture: 1.7% (2017 est.)

industry: 19.5% (2017 est.)

services: 78.8% (2017 est.)

GDP - composition, by end use

household consumption: 54.1% (2017 est.)

government consumption: 23.6% (2017 est.)

investment in fixed capital: 22.5% (2017 est.)

investment in inventories: 0.9% (2017 est.)

exports of goods and services: 30.9% (2017 est.)

imports of goods and services: -32% (2017 est.)

Agricultural products

wheat, sugar beets, milk, barley, maize, potatoes, grapes, rapeseed, pork, apples

Industries

machinery, chemicals, automobiles, metallurgy, aircraft, electronics, textiles, food processing, tourism

Industrial production growth rate

2% (2017 est.)

Labor force

27.742 million (2020 est.)

Labor force - by occupation

agriculture: 2.8% (2016 est.)

industry: 20% (2016 est.)

services: 77.2% (2016 est.)

Unemployment rate

8.12% (2019 est.)

8.69% (2018 est.)

note: includes overseas territories

Youth unemployment rate (ages 15-24)

total: 18.9%

male: 19%

female: 18.8% (2021 est.)

Population below poverty line

13.6% (2018 est.)

Gini Index coefficient - distribution of family income

31.6 (2017 est.)

29.2 (2015)

Household income or consumption by percentage share

lowest 10%: 3.6%

highest 10%: 25.4% (2013)

Budget

revenues: 1.392 trillion (2017 est.)

expenditures: 1.459 trillion (2017 est.)

Budget surplus (+) or deficit (-)

-2.6% (of GDP) (2017 est.)

Public debt

96.8% of GDP (2017 est.)

96.6% of GDP (2016 est.)

note: data cover general government debt and include debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data include debt issued by subnational entities, as well as intragovernmental debt; intragovernmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment; debt instruments for the social funds are not sold at public auctions

Taxes and other revenues

53.8% (of GDP) (2017 est.)

Fiscal year

calendar year

Current account balance

-$18.102 billion (2019 est.)

-$16.02 billion (2018 est.)

Exports

$746.91 billion (2020 est.) note: data are in current year dollars

$891.18 billion (2019 est.) note: data are in current year dollars

$918.97 billion (2018 est.) note: data are in current year dollars

Exports - partners

Germany 14%, United States 8%, Italy 7%, Spain 7%, Belgium 7%, United Kingdom 7% (2019)

Exports - commodities

aircraft, packaged medicines, cars and vehicle parts, gas turbines, wine (2019)

Imports

$803.66 billion (2020 est.) note: data are in current year dollars

$919.63 billion (2019 est.) note: data are in current year dollars

$947.31 billion (2018 est.) note: data are in current year dollars

Imports - partners

Germany 18%, Belgium 9%, Italy 9%, Spain 7%, China 7%, Netherlands 6%, United Kingdom 5% (2019)

Imports - commodities

cars, crude petroleum, refined petroleum, packaged medicines, aircraft machinery (2019)

Reserves of foreign exchange and gold

$156.4 billion (31 December 2017 est.)

$138.2 billion (31 December 2015 est.)

Debt - external

$6.356 trillion (2019 est.)

$6.058 trillion (2018 est.)

Exchange rates

euros (EUR) per US dollar -

0.82771 (2020 est.)

0.90338 (2019 est.)

0.87789 (2018 est.)

0.885 (2014 est.)

0.7634 (2013 est.)

NOTE: The information regarding France on this page is re-published from the 2022 World Fact Book of the United States Central Intelligence Agency and other sources. No claims are made regarding the accuracy of France 2022 information contained here. All suggestions for corrections of any errors about France 2022 should be addressed to the CIA or the source cited on each page.