Post on 25 July 2022

French growth will be permanently affected by the energy crisis

As the French government prepares to send its stability programme to Brussels, the Observatoire français des conjonctures économiques (OFCE) presented its “economic framework” for the next five years on Thursday. Its latest projections are for GDP growth of 2.4% in 2022. A forecast close to the central scenario of the Banque de France (2.5%) and that of Bercy at the end of June (2.5%). The shock of the war in Ukraine and the resulting energy crisis on the French economy is expected to last. This year, as next year, the energy crisis will cut into France’s growth by 0.7 points of GDP. In 2023, economic activity would only grow by 1%, according to the OFCE.

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