FX.co ★ France Business Climate Indicator Unchanged

France's business climate indicator remained consistent at 96 in August 2025, maintaining the same level as July and falling short of the long-term average of 100. Sentiment varied across sectors: the retail trade experienced a significant decline to 92 from 99, marking the lowest level in over two years, influenced by diminishing order intentions and a less optimistic general outlook. Confidence in the services sector declined slightly to 95 from 96, continuing a 14-month period below the average, as managers became increasingly pessimistic about their personal outlook. The manufacturing sector maintained its morale at 96, still below the norm, with a noticeable decrease only in finished-goods inventories. Conversely, confidence in the construction sector improved to 98 from 96, buoyed by more promising activity prospects and increased capacity utilization. Simultaneously, the employment climate weakened to 95 from 96, prolonging its period below average since mid-2024, mainly due to weaker staff assessments in services excluding temporary work.