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- GDP is expected to increase by 0.2% in the second quarter - Bank of France
GDP is expected to increase by 0.2% in the second quarter - Bank of France
According to the monthly index of business activity (MIBA), GDP is expected to increase by 0.2% in the second quarter of 2019 (third estimate, revised downwards by 0.1 percentage point).
In the manufacturing industry, the business sentiment indicator stood at 95 in June, after 99 in May.
In June, industrial production declined significantly, in particular in the automobile, rubber and plastic and IT and electronic equipment sectors. The pharmaceutical and other transport equipment manufacturing sectors remained buoyant.
Order books fell slightly.
Business leaders expect industrial production to recover in July in all sectors.
In services, the business sentiment indicator stood at 100 in June, like in May.
Subsequently to a slowdown in demand, service sector activity rose moderately. It remained strong in the transport, publishing and IT sectors and contracted in the management, legal and accounting sectors, as well as in the automobile repair sector.
Business leaders expect service sector activity to accelerate in July.
In construction, the business sentiment indicator stood at 104 in June, after 105 in May.
Due to unfavourable weather conditions, construction sector activity waned, particularly in structural works.
Order books remained at high levels, and the prices of quotes rose.
In July, business leaders expect construction sector activity to pick up.
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