A slight decline in the confidence index of French families amid cautious optimism about consumption

2025/03/26 10:23:52 PM

1 minute read

Paris, March 26/ WAM/ The French Families’ confidence index witnessed a slight decline during the month of March, and French citizens expressed concerns about their future financial conditions, according to the data of the French National Institute for Statistics and Economic Studies (Insee).

Despite this, the data showed a growing trend towards spending instead of saving, indicating signs of improvement in local consumption. According to the data of the institute issued today, the French Families’ confidence index recorded 92 points in March, one point decreased from February (93 points).

This number remains less than its 100 -point historical average, which reflects the continuation of caution among families about their economic future.

The National Institute of Statistics calculates this indicator based on questions directed at families and the results showed that families have become less optimistic about their future financial situation after the confidence index in this aspect decreased by 7 points to reach -11 points, while confidence in the last financial situation recorded a slight decline in one point to reach -21 points.

With regard to the general expectations of the French economy, the families’ evaluation of the future living level decreased by three points to reach -50 points, indicating the continued fears about the economic situation, however, its outlook on the economic situation improved during the last period as the index rose by one point to reach -69 points.

With regard to unemployment, the report showed a noticeable decrease in its associated concerns and the index decreased with eight points to 46 points, which may reflect a slight improvement in the labor market or at least a decrease in the associated anxiety.

On the price level, the data showed a decline in the number of families that believe that prices have witnessed a significant increase during the past 12 months and the index decreased by two points to -7 points, its lowest level since July 2021.

However, on the other hand, the percentage of families that expect prices increased over the next 12 months, as the index increased by two points, to -41 points, reflecting the continued anxiety of future inflation.