Central Banks

France’s Economy Is Falling Behind as Europe Gradually Recovers

Tourists in the Tuileries garden in Paris.

Photographer: Benjamin Girette/Bloomberg

France’s economy is falling behind the rest of Europe with weakness across the board — just as uncertainty over budget cuts looks set to return, according to the statistics office.

The 0.6% increase in gross domestic product in 2025 will be less than the euro-area average for the first time in three years, Insee forecasts published Wednesday show. After rising just 0.1% in the first quarter, GDP will advance 0.2% in each of the next three.