Choose France-ENG

Since 2018, France has been organising an annual summit aiming international industrialists and investors on an international level: « Choose France ». The May 2024 edition is an opportunity for us to take stock of France’s attractiveness.

Since 2019, France has been Europe’s leading destination for foreign investment, ahead of the UK and Germany, particularly for industrial and R&D (research and development) projects. Choose France 2024, for example, saw the announcement of a large number of projects representing 15 billion Euros in investment and 10,000 new jobs.

Why are investors targeting France? What are the main advantages over neighbouring countries?

France’s central position in Western Europe no doubt partly explains the investment decisions aimed at accessing several countries simultaneously. Managers moving to France may also be reassured by the country’s security and the quality of its medical and education systems.

The country’s investment policies also help to identify the support that can be found locally. The « France 2030 » programme has helped to develop the innovative fields of AI, hydrogen, nuclear power, semiconductors, and batteries, which could represent opportunities, partnerships or sources of supply.

The tax policy of the governments appointed by Emmanuel Macron has also facilitated these investments. As a result, the tax cost, although significant, is at its lowest for several decades. The rate of corporation tax has been cut from 33% to 25%, and the « contribution to corporate added value » production tax has been considerably reduced. The maximum 30% tax on dividends paid to individuals is also more favourable than in the past. Lastly, companies can continue to benefit from tax credits for R&D activities and projects relating to certain renewable energies.

While investing in a foreign country remains a challenge that involves adapting to a new culture, there is no doubt that France continues to seek to attract and facilitate the setting up of new businesses through its legislation, public institutions such as « Welcome to France » that provide support for projects of all sizes, and the professionals who support business owners.

Still open questions and not sure? Do not hesitate to contact us.