Market news
25.03.2021, 08:00

French business сlimate indicator rose sharply in March

According to the report from Insee, in March 2021, the business climate has improved markedly. The indicator that synthesizes it, calculated from the responses of business leaders in the main market sectors of activity, has gained 7 points. At 97, it stands at the highest level since the start of the health crisis, thus approaching its long-term average (100).

This sharp increase reflects above all a renewed confidence in the tertiary sector: business climates in services and in retail trade have risen, respectively, by 6 and 5 points compared to February and, in wholesale trade, by 3 points compared to January. In manufacturing, after three months of improvement, the business climate is stable in March. These four business climates remain below their long-term averages, although in manufacturing and wholesale trade they are quite close to it. In the building industry, the opinion of business leaders on their activity, both recent and upcoming, has improved quite markedly in March.

At the same time, the employment climate has rebounded sharply. At 92, it has gained six points and returned to a level equivalent to that of September 2020, while remaining well below his average (100). This improvement is mainly due to the increase in the balances of opinion on the changes in the workforce size, both recent and expected, in services other than temporary employment agencies.

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