During the third quarter of 2021, the year-on-year variation rate of the French GDP recorded a significant decrease compared to the previous quarter, down to a rate of 3.27%. Regarding the labour market, the unemployment rate rose to 8.10% from the previous quarter, while the year-on-year rate of employment creation declined to 2.08%. The euro depreciated against the dollar during 3Q21, and recorded an average exchange rate of 1.18 $/€. Finally, inflation registered a year-on-year variation of 1.77%.


Macroeconomic outlook report: France 3Q21

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Macroeconomic Overview

  • During the third quarter of 2021, the French economy decelerated its growth with respect to the previous quarter. Thus, the year-on-year change in GDP decreased by 15.62 p.p. compared to 2Q21, to 3.27%.
  • The economic recovery was consolidated by the progress in vaccination, although at a slower pace than in the previous quarter due to supply chain problems and a higher comparative rate.
  • Regarding the labour market, the unemployment rate increased compared to the previous quarter, standing at an 8.10% rate. On the other hand, the employment variation rate decreased by 1.32 p.p. compared to the previous quarter, down to a rate of 2.08%.
  • During the third quarter of 2021, the euro depreciated against the US dollar compared to the previous quarter. The average nominal exchange rate for the period stood at 1.18 $/€.
  • During 3Q21, the y/y growth of the Consumer Price Index increased by 0.40 p.p. compared to 2Q21, up to a rate of 1.77%.

For more information, click here to access the executive document in pdf.