On Tuesday, France’s national statistics institute (INSEE) reported that the country’s economy expanded by a stronger-than-expected 0.3 percent in the second quarter of the year. This performance exceeded the institute’s earlier forecast of 0.1 percent growth and was bolstered by favorable foreign trade conditions and a resurgence in corporate investment.

The growth in the second quarter was driven by a combination of factors. Foreign trade played a significant role, with exports performing particularly well and contributing positively to economic expansion. Meanwhile, corporate investment saw a notable recovery, further supporting the overall growth.

Domestic demand also contributed positively, albeit modestly, to the quarter’s growth. In contrast, household spending, which had been a major factor in the economic expansion observed in the first quarter, remained steady over the three months leading up to June. This stability in household expenditure suggests that while it was not a significant driver of growth in the second quarter, it did not detract from the overall positive performance.

Additionally, INSEE revised its estimate for the first quarter’s economic growth from an initial 0.2 percent to 0.3 percent. This upward revision indicates a slightly stronger economic performance in the early part of the year than previously thought.