FILE PHOTO: A shopper pays with a ten Euro bank note at a local market in Nantes, France, April 3, 2026. REUTERS/Stephane Mahe/File Photo
FILE PHOTO: A shopper pays with a ten Euro bank note at a local market in Nantes, France, April 3, 2026. REUTERS/Stephane Mahe/File Photo
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Business & Economy

French economy expands 0.2% helped by household spending and exports

PARIS, July 30 (Reuters) – The French economy grew 0.2% in the second quarter from the first, official data showed on Thursday, as a recovery in household spending and exports supported the euro zone’s second-biggest economy.

The second-quarter growth came after the French economy contracted by 0.1% in the first quarter, and the 0.2% growth figure was in line with a Reuters analyst poll.

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The official statistics body INSEE said on Thursday that an increase in exports in the aeronautics sector had contributed to the economic recovery.

France – along with many other European economies – is facing the impact of the Iran war and tariffs from the United States, and in July the French government cut its overall growth forecast for the whole of 2026 to 0.7% from 0.9%.

(Reporting by Sudip Kar-Gupta and Diana Mandia Alvarez; Editing by Clarence Fernandez and Jacqueline Wong)

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By Reuters | Reuters | © Copyright Thomson Reuters 2026.

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