French growth expected to accelerate to 1.6%

France's economic growth is expected to accelerate to 1.6 per cent this year, The National Institute of Statistics and Economic Studies (Insee) has said.

Insee in a report said it expects the country's jobless claims to fall too due to improving investment and household expenditure, Xinhua news agency reported.

It expects the French economy to grow by 0.3 per cent in the second and third quarter, followed by a growth of 0.4 per cent in the last quarter of the year. This is expected to lead to a full-year growth above the official target of 1.5 per cent, Insee noted.

Insee sees the full-year household demand increasing by 1.6 per cent, the highest level since 2010, while corporate investment is expected to hit an eight-year high of 4.7 per cent.

The improving economic growth, coupled with tax cuts, is expected to push jobless claims to their lowest level since 2012.

--IANS

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