The Central Bank of France has lowered its economic growth expectations for next year due to political turmoil.

On December 17th, the French Central Bank predicted in its quarterly outlook report that the speed of economic rise in France in the next two years will be lower than expected, due to the intensified global Fluctuation caused by domestic political turmoil in France, which has dragged down economic activity. The French Central Bank expects the country’s rise to be 0.9% in 2025, down from the previous forecast of 1.2% in September, following a rise of 1.1% this year. The French Central Bank stated that government spending cuts and political uncertainty will hinder consumer spending and private sector investment. A series of political crises this year has left consumers and businesses feeling anxious, leading them to adopt a cautious attitude towards the future, and has further darkened the already dim prospects due to the possibility of the United States imposing additional tariffs.

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