INSEE forecasts a recovery, but no fall in unemployment in 2015

INSEE forecasts a recovery, but no fall in unemployment in 2015

In its economic report published Thursday, April 2, INSEE provides for aslight economic recovery in 2015. But it will be insufficient to halt rising unemployment.

INSEE is reviewing its copy on the rise. The conjuncture institute forecasts a growth of the gross domestic product of 0.4% in the first quarter, then of 0.3% in the second quarter of 2015. These figures confirm the assumptions of the government, which envisages 1% of growth this year, explains Marine Marck, from France 2. But the Minister of Finance Michel Sapin refuses any triumphalism: “I am not going to be happy about 1% growth, because I know very well that it is not enough to reduce unemployment ”, he declared this Friday April 3 on RTL.

Unemployment could reach 10.6%

According to INSEE, the number of unemployed should increase further in the coming months. By mid-2015, it should reach 10.2% of the working population in metropolitan France. If we include overseas, the unemployment rate could even reach 10.6%. Unheard of since 1997. The institute notes that companies are still reluctant to relaunch investment, but adds that the fall in the euro could boost exports. Growth is mainly based on consumption. The drop in fuel prices and certain taxes should boost purchasing power.