The head of the Bank of France, Francois Villeroy de Galhau, ruled out on Thursday the French economy entering a recession in 2023, predicting weak economic growth instead
PARIS (Pakistan Point News / Sputnik - 09th February, 2023) The head of the Bank of France, Francois Villeroy de Galhau, ruled out on Thursday the French economy entering a recession in 2023, predicting weak economic growth instead.
"You remember that last fall, we were very afraid of a recession in 2023. As of today, I believe that I can rule out it, unless any major event happens in the world again," the bank's governor said on air on the France 2 broadcaster.
Villeroy de Galhau added that France's economy is slowing down, but it is still afloat, with 0.3% growth expected in 2023. In addition, the bank's head reiterated earlier forecasts, saying that inflation will peak in the first half of the year, after which it will begin to decline again.
"We are going to bring inflation back to 2% before the end of next year or the beginning of 2025. This is not only the forecast of the Bank of France and the European Central Bank, but also our commitment," he said.
France's National Institute of Statistics and Economic Studies (Insee) said earlier that annual inflation in France reached 6% in January.
