IMF hailed in a report that France has made “”impressive progress” in policies that focuses on “addressing long-term challenges and building up resilience to shocks.” Additionally, it’s reform agenda ahead is “equally ambitious”.
Regarding the economy, IMF noted that France is benefitting from a “broad-based recovery”. Outlook is “positive” even though risks are “tilted to the downside”. 2018 and 2019 growth is expected to “remain robust” even though less buoyant than 2017.
But there are domestic risks “if the pace of reforms slows” or “if reforms prove less effective than expected”.
Externally, “increasing trade tensions, geopolitical uncertainty, or an erosion of confidence in the European project could negatively affect exports and growth”. Faster than expected interest rate normalization could also weigh on public and private balance sheets.
Here is the full report.
