French Economy Shrugs Off Budget Debacle With Sustained Growth

The Galeries Lafayette department store during winter sales in Paris.

Photographer: Nathan Laine/Bloomberg

France’s economy is set to keep growing through the first half of next year, overcoming heightened political and budget uncertainty.

Gross domestic product will rise 0.2% in the final three months of this year and 0.3% in each of the first two quarters of 2026 on firm domestic demand, according to statistics agency Insee’s latest short-term assessment.