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While it was expecting, last March, a 3.4% increase in GDP in 2022, the Banque de France now envisages only a 2.3% growth. As for inflation, it could reach 5.6% this year. At issue: the war in Ukraine and its consequences on access to oil and gas and certain raw materials.
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According to the latest forecasts of the French Observatory of Economic Conditions (OFCE: Observatoire Français des Conjonctures Economiques), due to inflation, the purchasing power of the French should fall by 0.8% in 2022 despite the aid put in place by the government.
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In its latest report, the Observatory of Inequalities returned to the threshold at which a Frenchman can be considered “rich”. This threshold is €3,673 net of tax gain per month (twice the median income of the French). 7.1% of French people are therefore “rich”.
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French household confidence in the economy continues to decline. The INSEE indicator that summarizes it has thus decreased from 86 points in May to 82 points in June. For the record, it had reached 98 points at the very end of January 2022, just before the invasion of Ukraine by Russia and 105 points on the eve of the first sanitary lockdown in February 2020.
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