France’s overall business climate index rose to 98 in August 2026 from 95 in July, marking a third consecutive monthly improvement and its highest level since March. The reading moved closer to the long-term average of 100. Retail trade recorded the largest increase, with its climate indicator rising to 99 from 96 on stronger ordering intentions and improved assessments of past sales. Manufacturing sentiment climbed to 103 from 101, exceeding expectations, remaining above its long-term average and reaching its strongest level since January. The gain was driven mainly by a rebound in personal production prospects to 9 from -1 and improved foreign order books to -8 from -12. Services sentiment edged up to its long-term average of 100 from 99, while construction remained at 96 and employment at 99. Within manufacturing, lower finished-goods inventories and easing economic uncertainty also supported sentiment, although the general production outlook stayed subdued and employment indicators were mixed.