The French economy is set to grow by 1.3 per cent in the first six months of 2004 and is on course to grow by 2 per cent in the whole year, according to a statement today from the Bank of France.
In a monthly report on the economy, the central bank predicted, gross domestic product growth would expand by 0.5 per cent in the first and second quarter, generating a rise of 1.3 per cent at the end of the first six months of the year.
Bank of France governor Christian Noyer told the French daily Le Parisienthat the French economy appreared to have achieved a "growth rate of 2 per cent."
He said: "Our studies of the economic situation show that we have regained today a growth rate of 2 per cent and that the businesses' outlook is progressively improving in all the sectors. That backs the scenario of a gradual economic recovery in France and throughout the euro zone.
What is important now is that confidence returns, particularly on the consumer side," he added.
Separately, the central bank said that the business outlook index had climbed in March to 102, up from 101 in February and compared with 93 in March 2003.