France's Foreign Investment Attractiveness Faces Strategic Challenges in 2025

France retains its top spot for foreign investment in Europe but faces declining project numbers and strategic challenges.

Key Points

  • • France attracted 1,025 projects in 2024, marking its sixth consecutive year at the top in Europe.
  • • Investment projects in France fell by 14% in 2024, with a total decline observed in Europe as well.
  • • 61% of business leaders believe European investment attractiveness will improve in the next three years.
  • • EY highlights twelve critical areas, including regulatory simplification, to enhance France's investment appeal.

France continues to lead as the most attractive European destination for foreign investment, despite facing significant challenges. According to the latest findings from the EY Barometer of Attractiveness, France attracted 1,025 foreign investment projects in 2024, securing its sixth consecutive year at the top. However, this figure marks a 14% decrease from the previous year and follows a 5% decline recorded in 2023, indicating a worrying trend in the country's investment landscape.