Private sector output falls throughout France, yet business optimism rises to its highest level in 16 months
French Private Sector Sees First Decline Since October
At the start of 2026, France’s private sector experienced its first monthly downturn in business activity since the previous October, as revealed by the latest HCOB ‘flash’ PMI® report. This setback was partly attributed to clients’ reluctance to place new orders, a response to the ongoing political stalemate surrounding the country’s fiscal policies.
January saw the sharpest drop in demand for French goods and services in half a year. Businesses also maintained a cautious approach to pricing, with no changes in charges compared to December. On a brighter note, companies expressed their strongest optimism for growth in the year ahead since ...
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