Market services in 2024

Market services in 2024: the slowdown continues, especially in domestic business demand

Growth in value added (VA) slows again slightly in 2024, in market services as in the economy as a whole (+2.3% in 2024 after +2.8% in 2023, in volume terms, excluding trade, transport and warehousing, financial and insurance services, education, human health and social work). Growth is similar in industry-construction and slightly less strong in non-market services. On the other hand, value added stagnated in trade-transport-financial services and fell in agriculture (-15%) following poor harvests. In value terms, the share of market services in GDP increases for the third year running, and now represents 37.5% of GDP. Conversely, the share of industry-construction falls sharply (-0.9 points).

Activity and VA in market services slow down in 2024 in most activities, mainly due to the contraction in domestic demand from businesses and public authorities. Arts, entertainment and recreational services are particularly buoyant in 2024, due to the impact of the Olympic Games, while real estate activity stagnate in volume terms due to the continuing downturn in the property market.

Investment in market services remains sluggish, notably due to the crisis in the real estate market, which is affecting investment in transfer rights. It is growing only in engineering and software and database services.

Household consumption of services grows slightly more strongly than in 2023, catching up with business consumption. Foreign trade continues to grow since 2020. The surplus balance for services stands at€14.1 bn, returning to its highs of 2019 and 2021.