Unfortunately, Brexit continues to wreak havoc on the EU economy. Now, it is French businesses that are struggling under the uncertainty. According to recent reports, French business activity has slowed considerably, with manufacturing sector growth grinding to a halt.
New figures by data provider IHS Markit, the Purchasing Manager’s Index (PMI) for France, registered its lowest level in four months. The PMI dropped from a score of 52.9 in August to 51.3 in September. These numbers reveal just how far business has fallen and how concerning the situation really has become.
France’s manufacturing sector has played a big role in the declining levels of business activities. The sector dropped below the PMI’s average, registering a score of 50.3 last month – a 1.2-point slump from August’s reading. Service firms performed a bit better, but still show sings of a slowdown as it once again dropped below the average.
Economists are also concerned about the changes. They recently scored the sector at 51.6 for September after registering almost two points higher at 53.4 in August. Elliot Kerr, IHS Markit’s economist shared his thoughts on the situation:
“With services firms registering their slowest rise in activity since May, fears of negative spill-over effects from the manufacturing sector are coming to fruition. Any intensification of such effects would likely dampen economic growth going forward.”
Likewise, Chris Williamson, IHS Markit’s chief economist, offered his opinion, revealing that business managers expressed fears that Brexit and global trade tensions are to blame for the slump. “If the manufacturing sector, which is currently in its most sever recession since 2012, continues to weaken, there will also be concern about the spread of this unease to the rest of the economy.
Managing Brexit Uncertainty
Business owners have been doing their best to manage the uncertainty of Brexit all year. One of the ways they’ve been accomplishing this is by focusing on what they can control, like payment processing. Merchants are making sure they have the multiple payment processing options customers expect, along with protection from fraud and chargebacks. Working with the best payment providers ensures their business is current and ready for any changes Brexit might bring.
If you need to compare and update your payment procession options, consider the helpful reviews and information Best Payment Providers has to offer. Find reviews on the top payment processors in the industry, like Worldpay review.
Author Bio: Payment industry guru Taylor Cole is a passionate payments expert who understands the complex world of merchant accounts. He also writes non-fiction, on subjects ranging from personal finance to stocks to cryptopay. He enjoys eating pie in his backyard porch, as should all right thinking people.