French economy grew 1.9 percent in 2007, revised data confirms
French economy grew by 1.9 percent last year, official data confirmed despite upward revisions for output in the second and last quarters.
PARIS, March 28, 2008 - The French economy grew by 1.9 percent last year, official data confirmed despite upward revisions for output in the second and last quarters.
The national statistics institute raised its figure for growth in the
second quarter from 0.3 to 0.4 percent and likewise for the last quarter.
The government had planned on the basis of growth of 2.0-2.5 percent for
the whole of last year, but later adjusted this down to slightly less than 2.0
percent. In 2006 the economy grew by 2.2 percent.
However, Economy Minister Christine Lagarde has said that growth for 2007
might reach the 2.0-percent mark when final data is published in May.
The government has already said that in view of strains in the world
economy it will revise down its expectations for growth this year which is
likely to be 1.7-2.0 percent instead of 2.0-2.5 percent expected when the
budget was drafted.
The public deficit for 2008 was expected to turn out at 2.3 percent of
gross domestic product, but this estimate is also likely to be increased.
The European Commission has said it expects the French economy to grow by 1.7 percent this year, the International Monetary Fund has forecast 1.5
percent and the Organisation for Economic Cooperation and Development 1.8
French President Nicolas Sarkozy was elected last year on a platform to
introduce structural reforms and raise French growth.