Bumpy growth, followed by a Covid-19 induced recession in 2020
LOW RISK for entreprise
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Economic risk
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Business environment risk
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Political risk
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Commercial risk
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Financing risk
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Economic risk
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Business environment risk
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Political risk
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Commercial risk
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Financing risk
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GDP | USD 2715bn (World ranking 7, World Bank 2019) |
Population | 67mn (World ranking 21, World Bank 2019) |
Form of state | Semi-presidential republic |
Head of state | Emmanuel Macron (President) |
Next elections | 2022, presidential and legislative |
![](/content/dam/onemarketing/ehndbx/eulerhermes_com/en_gl/erd/icon/plus.png)
- Dynamic demographics
- Infrastructures (e.g., transport) and public services are of high quality
- Many international corporate giants and a growing presence of technological start-ups (‘French tech’)
- Diversified economy
- Tourism revenues
- Quality education system
![](/content/dam/onemarketing/ehndbx/eulerhermes_com/en_gl/erd/icon/minus.png)
- Dual labour market: Insiders vs. outsiders, leading to structurally high unemployment rate
- Low employment rate among youth and seniors
- Growing inequalities in spite of costly redistribution
- Rapid deindustrialisation and low competitiveness of manufacturing firms
- Lack of large SMEs that can bear the sunk costs associated with innovation and exports
- Rent-based economy (e.g., retail distribution, taxis)
- Elevated level of public spending and questionable efficiency
Trade structure by destination/origin
(% of total)
Exports | Rank | Imports |
---|---|---|
Germany
15%
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1 |
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United States
8%
![]() |
2 |
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Italy
7%
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3 |
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Spain
7%
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4 |
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United Kingdom
7%
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5 |
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Trade structure by product
(% of total)
Exports | Rank | Imports |
---|---|---|
Other transport equipment
12%
|
1 |
10%
Road vehicles
|
Road vehicles
9%
|
2 |
6%
Other transport equipment
|
Medicinal and pharmaceutical products
6%
|
3 |
6%
Petroleum, petroleum products and related materials
|
Electrical machinery, apparatus and appliances, n.e.s.
6%
|
4 |
6%
Electrical machinery, apparatus and appliances, n.e.s.
|
Other industrial machinery and parts
5%
|
5 |
5%
Miscellaneous manufactured articles, n.e.s.
|
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Low
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Medium
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Sensitive
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High
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Payments
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Court proceedings
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Insolvency proceedings
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Payments
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Court proceedings
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Insolvency proceedings
French courts are fairly efficient in dealing with disputes in a timely manner.
The law in France provides for a complete set of restructuring proceedings when a company is facing financial difficulties, however, when liquidation proceedings are opended, the chances of collecting debts are very low.
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