Political instability: economic "disconnection" has "begun", according to the head of Medef

The uncertainty is such, according to the head of the Medef, that France's economic "disengagement" has begun, compared to countries like Spain, whose growth is "four times higher than that of France this year," or Germany, whose "coalition government (...) is taking massive support measures for businesses."

Deploring "debates" that he considers "very out of touch," the leader of the country's leading employers' organization calls for "a collective awareness" among the political class, while four heads of government have succeeded one another in less than two years and no consensus seems to be possible in the National Assembly.

The cost of "political indecision" has "been estimated at 9 billion euros less in gross domestic product this year," notes Patrick Martin, who "thinks that this is the minimum" the situation could cost.

According to the French Economic Outlook Observatory (OFCE), an independent research institute, political uncertainty resulting from the dissolution of the National Assembly in June 2024 and the subsequent censure of the Barnier government in December will reduce growth by 0,3 points of GDP in 2025.