The economic uncertainty in France be seen to have grown more abruptly than concerns relating to the level of risk posed by the coronavirus. According to the WHO, France recorded 1,19583 confirmed cases of COVID-19 till April 25, 2020 and 21,823 mortalities due to COVID-19 in the country. The fear regarding businesses and employment have rapidly increased since February in France. According to the European Union, France’s national economic debt will exceed 100% of the GDP that should not above than 60% as per the European Union guidelines. Therefore, the high % of the economic debt shows the large effect on the business in the country. According to the France’s Financial Markets Authority (AMF) “taking into account the significant losses in recent days on the financial markets” it had decided “an urgent step” was needed. The COVID-19 outbreak impacted various industry growth including automobile, food & beverage, energy, electronic and electrical, aviation, BFSI, retail, travel and tourism, and others. The energy market has a significant effect of COVID-19 due to uncertainty in the generation and supply of the power and energy. AS per the French grid operator RTE the nuclear availability to remain 3.6 GW below the 2015 to 2019 average as well expected a national drop in nuclear demand due to the COVID-19 pandemic in the country. Therefore the drop in the nuclear demand further impacted market size of energy sector in the country.
Growing production of Sanitizers in France
The France chemical industry has been contributed by various chemical companies that are affected by the COVID-19 pandemic which include Air Liquide, Total Petrochemicals, Kem One, INEOS AG and others. However, with the outbreak of this pandemic, the demand for sanitizing and hygiene materials have increased considerably since it act as an important tool to contain the COVID-19. In April 2020 INEOS AG, a leading chemical company announced to open sanitizer plant in Etain, North-East France. Moreover, the company has also announced that it has met its ten-day target to build a hand sanitizer plant in Lavera France and has started production of 1 million hand sanitizers a month.
To reduce the burden of economic slowdown on the companies the government of France is taking initial steps by providing subsidies and flexibility on taxes. The Finance ministry of France will provide $50.2 billion in crisis measures to support companies in the country to overcome the loses due to the COVID-19 outbreak in the country. As COVID-19 disease is increasing rapidly for this the government of France provide the flexibility in the hundreds of billions worth of loans, delay tax payments and suspend rent and utility bills for smaller firms for economic support for the companies in the country. Moreover, the European Commission announced the approval of the France’s plan to guarantee up to $350 billion in state to aid to ease the economic burden due to COVID-19 outbreak. The plan was approved under the State aid Temporary Framework to support the economy in the context of the COVID-19 outbreak adopted by the Commission on March 19, 2020. Therefore, this investment for the support of the country’s economy further provide the companies to overcome the economic effect of coronavirus.
OMR Global recently published report on https://www.omrglobal.com/industry-reports/impact-of-covid-19-on-france-economy
The Report Covers
- Comprehensive research methodology of the pre and post COVID-19 impact on the France economy.
- This report also includes a detailed and extensive market overview with key analyst insights.
- An exhaustive analysis of macro and micro factors influencing the market guided by key recommendations.
- Analysis of regional regulations and other government policies impacting the France economy.
- Insights about market determinants which are stimulating France economy.
- Detailed and extensive market segments with regional distribution of forecasted revenues.
- Extensive profiles and recent developments of market players.
Impact of COVID-19 on France Economy – Segmentation
- Automobile
- Food & Beverage
- Chemical
- Energy
- Electronic and Electrical
- Aviation
- Retail
- Travel and Tourism
- Others
To learn more about this report request a free sample copy @ https://www.omrglobal.com/request-sample/impact-of-covid-19-on-france-economy
