France

Czech Republic
Poland
Slovakia
Hungary
Germany
France
Romania
Serbia
Basic Information

68.88 million

Area

Population

Workforce

Language

Political System

Currency

Membership

31.21 million

French

Parliamentary democracy

Euro (EUR)

EU, OECD, NATO, OSCE, G7, G20, UN, Schengen Agreement, Council of Europe…

Paris

Capital

638,475  sqkm

Czech Republic
Poland
Slovakia
Germany
France
Hungary
Germany
Spain
United Kingdom
Ireland
Romania
Luxembourg
Netherlands
Slovenia
Italy
Bulgaria
Austria
Croatia
Belgium
Portugal
Malta
Estonia
Latvia
Lithuania
Greece
Sweden
Denmark
Finland
Cyprus
Malta
Estonia
Latvia
Lithuania
Greece
Sweden
Denmark
Finland
Cyprus
Map of France with major cities

France is the second-largest economy in the European Union, with GDP of approximately EUR 3.0 trillion in 2025, and one of Europe's largest consumer markets. With access to the Atlantic Ocean, the Mediterranean Sea and major continental transport networks, the country occupies a strategic position between Northern and Southern Europe while maintaining strong economic links with markets across Europe, Africa and beyond.

What distinguishes the French economy is the breadth of its high-value industries. France has one of the world's most complete aerospace ecosystems, led by companies such as Airbus, Safran and Thales, alongside internationally competitive capabilities in energy, pharmaceuticals, healthcare, agri-food, chemicals, cosmetics (L'Oréal), fashion and luxury goods (LVMH). This combination of advanced industry, globally recognized brands and strong research capabilities gives France a particularly diversified economic profile. Economic activity is centered on the Paris region (Île-de-France), while aerospace is concentrated in Occitanie and Nouvelle-Aquitaine in the southwest and battery production in Hauts-de-France in the north.

France has also established itself as Europe's leading destination for international investment projects, ranking first in Europe for the seventh consecutive year in 2025 with 852 projects, according to the EY European Attractiveness Survey. Asian companies are part of this picture, with Toyota producing the Yaris in France and AESC operating a battery gigafactory. Recent investment is increasingly directed towards artificial intelligence, clean energy, batteries, advanced manufacturing, healthcare and other strategic technologies.
‍
Major Industries

Iron & Steel

Automotive

Construction

Aviation

Tourism

Major Trade Partners

Export

Germany, China, Belgium, USA, Italy, Spain, Netherlands, UK, Switzerland, Poland

Import

Germany, USA, Italy, Belgium, Spain, UK, China, Netherlands, Switzerland, Poland

Reasons to Invest

  • World-class infrastructures
  • A leading and open economy
  • High hourly labor productivity rate
  • 7th largest economy in the World (2021)
  • High quality of life, cultural and tourist activities
  • Lower set-up and operating costs than in the United States, Germany or Japan
  • Attractive tax reductions

115.6%

4,348 USD

General government debt (GDP, 2025)

Long-term interest rates
(10Y government bonds, 12/2025)

Average inflation rate (2025)

Labour productivity (EU27 = 100, 2025)

Unemployment rate (avg. 2025)

Nominal annual average wage growth rate (2025)

3.35%

1.175

A+

0.9%

107.2

7.7%

1.76%

0.85%

Real annual average wage growth rate (2025)

GDP growth (constant prices, 2025)

0.8%

3,700 EUR

Average nominal monthly gross wage in EUR
(2025)

Average nominal monthly gross wage in USD
(2025)

Exchange rate - EUR / USD (31/12/2025)

Credit rating (S&P, 4/2026)

Economic Indicators

35 hours / week (legal); max 10 hours / day

45% +

Maximum Working Hours

Maximum Overtime Hours

Compensation for Overtime / Holiday Work

Minimum Number of Paid Holidays

Sick Days

Maternity Leave

Parental Leave

Social Security (Companies)

Notice Period

Social Security (Employees)

Probation Period

Labour Union
(Proportion of Employee / Collective Bargaining Coverage)

48 hours / week max (44 hours average over 12 consecutive weeks)

20%

25% for the first 8 overtime hours / week; 50% beyond (min. 10% by agreement)

5 weeks (2.5 working days per month worked)

maximum 3 years

23.0%

Less than 6 months: no statutory minimum
Less than 2 years: 1 month
Over 2 years: 2 months

14.2%

Workers and employees: 2 months
Supervisors and technicians: 3 months
Executives: 4 months

10.1% / 98%

Sick pay without first 3 days

16 weeks (6 weeks before + 10 weeks after birth)

Minimum Wage (1/2026)

1,823.03 EUR / month (2025); 12.02 EUR / hour (2026)

26.5%

Corporate Tax

Income Tax

Value Added Tax (VAT)

Other Tax

Local economic contribution (CET: CFE + CVAE), Local property tax (taxe foncière), Registration duties, Customs and excise duties

Taxation System
Labour Regulations
Source: World Atlas, Trading Economics, Eurostat, World Bank, Inflation EU, Exchange Rate ORG, OECD