Country report France 2018

Country report

  • France
  • Agriculture,
  • Automotive/Transport,
  • Chemicals/Pharma,
  • Construction,
  • Consumer Durables,
  • Electronics/ICT,
  • Financial Services,
  • Food,
  • Machines/Engineering,
  • Metals,
  • Paper,
  • Services,
  • Steel,
  • Textiles

15th May 2018

With about 55,000 business failures recorded in 2017 the number of insolvencies was still as high as during the start of the credit crisis in 2008.

France tradeFrance key figures


France sectors

The insolvency environment

Despite a decrease  the insolvency level remained high in 2017

French business insolvencies decreased by about 5% in 2017, and in 2018 another 7% decline is expected, in line with the on-going economic rebound. However, with about 55,000 cases in 2017 the number of business insolvencies was still as high as in 2008.

France insolvencies

Economic situation

Growth finally picked up in 2017

After several years of rather feeble GDP increases of around or even less than 1%, French economic growth picked up in 2017 growing 2%. This rate is expected to continue in 2018 and 2019.

The rebound is driven by higher export growth and improved business and consumer confidence. Lower business taxes support investment growth, while some labour market reforms help to reduce unemployment and to support household consumption.

However, corporate debt has increased to more than 70% of GDP, and further increases could make French businesses vulnerable to faster than expected interest increases by the European Central Bank.

After repeatedly failing to meet the Maastricht deficit threshold of 3% of GDP, the budget deficit decreased below this threshold in 2017 and is expected to remain so in 2018 and 2019.

However, at about 95% of GDP (up from 67% of GDP in 2008), French public debt remains among the highest in the eurozone. It seems that more measures are required to curb public spending, which, at 57% of GDP, is the highest in the eurozone.


Disclaimer, no warranties and exclusion of liability

Atradius disclaims any representations or warranties of any kind, whether expressed or implied, including but not limited to implied warranties of merchantability and fitness for a particular purpose of (INCLUDING BUT NOT LIMITED TO) any information contained on or provided via this Web Site and/or any service described or promoted on this Web Site, including warranties with respect to infringement of any patent, copyright, or other rights of third parties. Atradius shall not be liable for any injury, loss, damage or expense arising out of any access to or use of this Web Site or any site linked to or from this Web Site, including, without limitation, any loss of profit, indirect, incidental or consequential loss. Atradius furthermore shall not be liable for persons, property damage or especially direct, indirect, incidental, consequential, immediate or subsequent (pecuniary) loss. While Atradius has used reasonable efforts in maintaining a virus-free Web Site, it declines any liability for persons, property damage or especially direct, indirect, incidental, consequential, immediate or subsequent (pecuniary) loss which may result from transmission or downloading of computer viruses. Atradius cannot be held liable for hardware damage, loss of data, alteration of data, or downtime.