NEWS COVERAGE - FRANCE

ECONOMY AND BUSINESS NEWS FROM THE PAST WEEK

April 10th, 2015
Business Sweden in Paris

FRANCE: NEW ECONOMIC INCENTIVES TO BOOST

PRIVATE AND PUBLIC INVESTMENT
The French Prime Minister Manuel Valls announced on
Wednesday 09/04 a bundle of reforms which would
boost French private and public investment

Growth of corporate investments in percent,

prediction by
the French Government

Corporate investments:

4,6%

Enabling companies to increase the depreciation of

their investments by 40 % the 12 coming months,
resulting in a decrease of tax payments
Increasing the funding of the stat backed bank BPI
with 2 bn in order to further assist SMEs and
intermediary sized companies
The crdit dimpt transition nergtique, translated
as a tax reduction for households renovating using
energy efficient solutions, will be extended through out
2016
Public investment:
Funding regional authorities investment plans through
a zero percent interest loan

1,2%

0,4%

2014

2015E

2016E

SOURCES: 1,2 & 3

BUSINESS SWEDEN

10 APRIL, 2015

FRANCE: THE AEROSPACE INDUSTRY CONTINUES TO

PROSPER
The aerospace industry kept growing at a rate of 2.9 % in 2014, amounting to 50.7 bn
Exports amounted to 33.1 bn
The French trade balance greatly benefiting from the aerospace industrys exports
Which amounted to 23.6 bn, an increase by 6 %

Record year of 2014:

73 bn worth of orders, out of which 78 % coming from foreign markets
As a result, the industry has continued its massive employment programme for the fifth year in a row, employing
10,000 people in 2014
According to Mawran Lahoud, president of GIFAS, the order books are likely grow in 2015 with a book-to-bill ratio of
1, translating into as many orders as deliveries

Uncertainty about future order coming from the French military:

Decreasing by 5.1 % in 2014, military orders amount to 23 % of the industrys turnover
The French Governments military investment plan, called Programmation militaire 2014-2019 , has not yet been
entirely financed
SOURCES: 4 & 5
BUSINESS SWEDEN

10 APRIL, 2015

FRANCE: FRANCE REMAINS THE WORLDS MOST

ATTRACTIVE TOURIST DESTINATION IN 2014
83.7 million tourists visited France in 2014, according to the Ministry of Foreign Affairs
The number of accommodations increased by 2 % compared to 2013
Laurent Fabius, the Minister of Foreign Affairs, has set the objective of reaching 100 million foreign tourists by 2020

Strong European presence:

80 % of registered tourists originated from Europe

American tourists amounted to 6.6 million, whereas Asian tourists amounted to 5 million

European tourists are on the other hand in decline by 1.7 %, compared to long travel tourists that increased by 8.7 %
Asian tourists increased by 16 %, which has been achieved by according visas faster than before
61 % of visas to France were accorded to Chinese citizens in 2014

SOURCES: 6
BUSINESS SWEDEN

10 APRIL, 2015

SOURCES
1.

Les Echos 09/04/2015, Fiscalit, pargne, droits sociaux : les principales annonces,
http://www.lesechos.fr/journal20150409/lec1_france/0204287260850-fiscalite-epargne-droits-sociaux-les-principales-annonces-1109632.php

2.

Les Echos 08/04/2015, Investissements : Valls donne des gages aux entreprises,
http://www.lesechos.fr/economie-france/budget-fiscalite/0204288031128-investissements-valls-donne-des-gages-aux-entreprises-1109442.php

3.

Financial Times 03/04/2015, Hollande reveals measures to kick-start investment,

http://www.ft.com/intl/cms/s/0/6d3248e0-d9e5-11e4-ab32-00144feab7de.html#axzz3WnayCBcG

4.

Les Echos 10/04/2015, Larospatiale franaise garde le cap de la croissance,

http://www.lesechos.fr/journal20150410/lec2_industrie_et_services/0204290124620-laerospatiale-francaise-garde-le-cap-de-la-croissance1109939.php

5.

Le groupement des Industries Franaises Aronautiques et Spatiales (GIFAS) 09/04/2015, Bilan 2014 de lIndustrie Franaise Aronautique,
Spatiale, de Dfense et de Scurit,
https://www.gifas.asso.fr/sites/default/files/video/communique_de_presse_resultats_2014.pdf

6.

Le Figaro 08/04/2015, La France, toujours premire destination touristique au monde,

http://www.lefigaro.fr/societes/2015/04/08/20005-20150408ARTFIG00013-la-france-toujours-premiere-destination-touristique-au-monde.php

BUSINESS SWEDEN

10 APRIL, 2015