France’s Lockdown Easing Brings Back the Entrepreneurs

(Bloomberg) -- French entrepreneurial spirit staged a comeback in May with the number of business creations surging.

After France’s strict lockdown ended May 11, new company registrations jumped 60% in the month, albeit from a slump during the lockdown.

While the number is still below it’s pre-crisis level, it’s a sign that a pickup from the record economic damage is starting. The count of new entrepreneurs has been closely watched as a sign of whether a string of pro-business reforms are working in France. Over the last five years, the increase in registrations had been accelerating.

There are still significant restrictions on parts of the French economy, notably hotels and restaurants that can’t receive as many customers as normal. The economic outlook is also gloomy, with the French government expecting output to contract 11% this year.

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