Einar H. Dyvik
Research expert covering Nordics and global data for society, economy, and politics
France - Statistics & Facts
In 2024, France was the seventh-largest economy in the world. The country has high living standards with a relatively strong welfare system and ideals based on free health care and free education. Economically speaking, France is doing relatively well, with a GDP that is expected to slightly rise over the next couple of years, a steady unemployment rate, as well as a recovering inflation rate. However, France faces demographic challenges such as an over-aging society, economic challenges such as an important public debt, and a tense political context, with no clear majority in the Assembly.
With a new government that seem to not have won the trust of the French yet, 2025’s social and political context is expected to be tense, with possible strikes and mobilizations ahead. Some examples include protestations coming from the agriculture sector, in opposition to the signature of the free trade agreement between the European Union and Mercosur, or tensions emerging from a possible new immigration bill.
Politics
In June 2024, after the European Parliament election and the National Rally Party's historic victory in France, President Emmanuel Macron, aware of his party's defeat announced he had decided to dissolve the National Assembly, and therefore called for a new legislative election. To defeat the National Rally in this election, the leftist alliance New Popular Front and Emmanuel Macron’s party Ensemble worked together. This tactic proved incredibly effective, and the New Popular Front emerged as the most popular alliance in the election winning 182 seats, yet without being able to secure an absolute majority. Still, as tradition wants it, President Macron was expected to choose a Prime Minister from the first force of the Assembly. However, after more than two months of discussion, Emmanuel Macron chose a head of government from the historical center-right party, a decision called out by the leftist alliance as a "denial of democracy".With a new government that seem to not have won the trust of the French yet, 2025’s social and political context is expected to be tense, with possible strikes and mobilizations ahead. Some examples include protestations coming from the agriculture sector, in opposition to the signature of the free trade agreement between the European Union and Mercosur, or tensions emerging from a possible new immigration bill.
Economy
In 2023, the gross domestic product of the French economy was 3.03 trillion U.S. dollars. Although GDP took a significant hit after the COVID-19 pandemic, the French unemployment rate was not affected by the crisis and continued to decline, following a trend visible since 2015. On the other hand, the inflation rate increased rapidly towards the end of 2020 and reached a peak of 6.3 percent in February 2023. The situation intensified due to a series of price increases mostly on housing, energy, transport, and food, a direct consequence of the Russia-Ukraine war which started in February 2022. The cost of living suffered a noticeable rise, and the French perception of the poverty line also increased. As of August 2023, the French population was still facing significant inflation, with some sectors being more affected than others. However, the annual inflation rate was expected to fall to 1.64 percent in 2025.Demographics
In 2025, the total population of France exceeded 68 million, a figure that has been steadily increasing for decades, thanks to France’s high fertility rate. However, despite this relative dynamism, France like many other European countries also faces demographic challenges, such as an aging population. Between 2006 and 2024 alone, the number of people over 65 went from 10 million to over 14 million. In addition, with the number of births decreasing year after year since 2010, the French government fears that the number of active people will be insufficient in the coming years to meet the needs of the growing amount of elderly.
