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Update: IMF Cuts French Growth Outlook for 2026 Amid High Uncertainty

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(Updates to add more information)

The International Monetary Fund downwardly revised its economic growth forecast for France in 2026 amid domestic uncertainty ahead of the 2027 election, as well as headwinds from the Middle East War.

The IMF now expects France's economy to grow 0.7% in 2026, slower than the 0.9% rise recorded in 2025, according to a concluding statement published Thursday following an official staff visit. Just last month, it predicted a 0.9% economic expansion for the year.

Additionally, the IMF said France's fiscal deficit fell to 5.1% of gross domestic product in 2025, although it noted that fiscal consolidation is still slower than expected and subject to "significant implementation risks."

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