Economic activity picks up very slightly as deconfinement approaches

The loss of activity during the health crisis would be of the order of 33%, instead of 36% estimated on April 9, INSEE said Thursday. The very gradual recovery in industry and construction dampened the shock somewhat. Business leaders expect their investments to fall by 7% this year.

The very gradual recovery in industry and construction slightly dampened the shock.

Step by step, economic activity is deconfining. With the approach of May 11, date on which the restrictions on the travel of the French will be relaxed, INSEE published this Thursday a new estimate of the fall in activity a little less unfavorable than the previous forecast. According to the statistics institute, the loss of activity during the health crisis would be of the order of 33%, instead of 36% estimated on April 9.

For a month, some sectors shut down during confinement have restarted their activity, after the implementation of health measures to limit contagion. This restart can be seen in the loss of activity figure for the industry, revised to -38%, against -43% on April 9. Same phenomenon in the building industry, where the drop in activity, initially estimated at -88%, has been revised to -75%.

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