PARIS (Reuters) – The French economy is expected to grow by 0.1% in the second quarter compared to the previous quarter, according to the monthly economic survey of the Banque de France (BdF) published on Thursday.

“Based on the results of the survey, supplemented by other indicators, we estimate that GDP growth in the second quarter of 2023 would be +0.1% compared to the previous quarter”, indicates the BdF in its monthly survey. .

According to the BdF’s business survey, conducted among business leaders between May 26 and June 5, activity increased slightly in May in industry and services and fell back in construction.

For June, companies anticipate a slight increase in industry, and a more marked increase in services and construction, according to the press release from the institution.

Moreover, for the second month in a row, manufacturers believe that prices are down sharply for raw materials and that they are stabilizing for finished products.

In addition, service prices stop rising for the first time while building prices continue to slow.

“This confirms our belief that the peak of inflation was probably reached during the second quarter of this year, and we should see a slowdown during the second half,” the institution told journalists.

(Report by Zhifan Liu, edited by Blandine Hénault)

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