French economy officially enters recession (-5.8% in Q1 2020)

The flash estimate for French first quarter GDP has been released this morning , showing a spectacular deterioration of economic activity on the back of the Coronavirus crisis ( -5.8 % QoQ in Q1 and -5.4 % YoY). Among the most affected components, private consumption fell by -6.1 % QoQ, business investment by -11.8 % an d exports by - 6.5% . As other European countries the French government had to react to the propagation of the epidemy, locking down the country and interrupti ng “ non-essential ” activities , from May 16 onwards . Some economic sectors have been particularly affected by the lockdown measures . Among them, construction, trade and transport have been touched the most .