The war in Ukraine, a triple shock for the French economy

The war in Ukraine is in the process of seriously upsetting the recovery which was nevertheless well under way, in the euro zone in general and in France in particular. European economies are now facing a triple shock, the effects of which are now very difficult to measure, warned INSEE. The institute presented its forecasts on Wednesday: an inflationary shock with soaring commodity prices; a shock to supply chains that might lead to new shortages; a shock to confidence, more haunting, for businesses and households. Two years following the start of the Covid-19 pandemic, uncertainty has returned to its peak for economic activity.

Inflation rising