covid_M

France’s vaccine strategy: What has gone wrong ?

Macro
Picture of Christopher Dembik
Christopher Dembik

Head of Macroeconomic Research

Summary:  France is ranked last in Bloomberg's worldwide Covid vaccine tracker with only 516 people vaccinated since the campaign vaccination started on 27 December, 2020. Confronted with harsh criticism over its strategy, the French government has recently announced its intent to accelerate the process, but it is unlikely that it will be able to reach its target of around 23-25 million people vaccinated in June - which would imply an average of 140,000 people vaccinated on a daily basis seven days a week. With France already lagging behind in distributing the vaccine and prospect of supply hurdles and logistics failures, the risk is increasing that the country will have no other choice but to enact tougher restrictions for longer that will weight on the recovery.


What is wrong with France’s vaccine strategy?

  • The supply of vaccines appears to have been mismanaged with preference for the vaccine developed by a local player, the French pharmaceutical company Sanofi, that will not be ready until the end of 2021 after interim results showed a low immune response in older adults.
  • The implementation is bottlenecked through GPs instead of setting up mass vaccination centers, like in Germany and in Israel. To make things worse, it takes about 5 to 6 days to get vaccinated due to the introduction of a slow procedure of informed consent. People first need to see their GP for a pre-visit during which they are informed of all the aspects and consequences of the vaccine, which takes about 45 minutes to one hour, then they have four days for withdrawal.
  • Due to logistics failures recently observed, especially regarding the storage at ultra-low freezing temperatures, it is estimated that roughly 25% to 30% of the 200 millions doses purchased by France could be definitively lost.

France vs Israel: Two opposing strategies

 

France

Israel

Total number of vaccination doses administered

516

1.22 MILLION

Procurement

EU VACCINE PURCHASE

LATE PURCHASE (AUGUST)

 

NATIONAL

EARLY PURCHASE (JUNE, MODERNA)

Organizational structure and decision-making

CENTRALIZED

Defense Council (President, Prime Minister and Minister of Health)

DECENTRALIZED

Koupot Holim (health organization of workers, composed of four different schemes)

The role of the leader

NOT VACCINATED YET

SETTING EXAMPLE AS FIRST ISRAELI GETTING VACCINATION

Distribution

GP MODEL (mostly)

Digital experience close to zero

VACCINODROME MODEL

Digital patient experience: appointment confirmation SMS message, online medical follow-up after vaccination etc.

What should be done ?

Strangely, France’s vaccination strategy has mostly consisted in pandering to anti-vax. There is undeniably a strong distrust in vaccination in France, which reflects a broader problem of confidence in the health system after a series of scandals that have left a lasting stain on its reputation over the past thirty years. A study from IPSOS released in October showed the extend of the problem: only 54% of the population is willing to get vaccinated against Covid versus 87% in India and 67% in Germany. To get around this problem, the government opted for a slow protocol that will be costly economically and that is unlikely to increase public confidence in the vaccine. In fact, it is even the opposite that is currently happening. The slow rollout of the vaccine reinforces the idea, among anti-vax, vaccine-skeptics and conspirators, that there is something to hide or at least that the authorities are afraid of potential unexpected side-effects of the virus. Economically, this strategy, that is unique among developed countries, will be very costly. Assuming that France manages to reach its June vaccination target, which is not enough to achieve herd immunity, its means that some forms of restrictions will probably prevail at least until September/October this year. This is the optimistic scenario. The pessimistic scenario is that France may need to resort to tougher lockdown or to extend overnight curfew if the new mutations recently discovered in the United Kingdom and in South Africa spread further in the country, reviving the specter of a new recession. The sad reality is that there is no time to waste. The longer we wait for herd immunity (which might be around 70%-75% of the total population with the new mutations according to recent studies versus prior 60%), the higher the probability for a non-segmented RNA virus evolving and rendering the vaccine ineffective. France has already lost precious weeks in the covid battle and it will certainly takes time to deal with the supply hurdles that are emerging. But by speeding up the vaccination process, via the adoption of the “vaccinodrome” model (like in Israel), and opting for a more coercive strategy, which could consists in linking the access to social benefits/tax loopholes  to the vaccination (following the example of Latin America for child vaccination), France could certainly escape faster from the pandemic mess and at lower economic cost than with the current inadequate strategy.

Outrageous Predictions 2026

01 /

  • Executive Summary: Outrageous Predictions 2026

    Outrageous Predictions

    Executive Summary: Outrageous Predictions 2026

    Saxo Group

    Read Saxo's Outrageous Predictions for 2026, our latest batch of low probability, but high impact ev...
  • A Fortune 500 company names an AI model as CEO

    Outrageous Predictions

    A Fortune 500 company names an AI model as CEO

    Charu Chanana

    Chief Investment Strategist

    Can AI be trusted to take over in the boardroom? With the right algorithms and balanced human oversi...
  • Dollar dominance challenged by Beijing’s golden yuan

    Outrageous Predictions

    Dollar dominance challenged by Beijing’s golden yuan

    Charu Chanana

    Chief Investment Strategist

    Beijing does an end-run around the US dollar, setting up a framework for settling trade in a neutral...
  • Obesity drugs for everyone – even for pets

    Outrageous Predictions

    Obesity drugs for everyone – even for pets

    Jacob Falkencrone

    Global Head of Investment Strategy

    The availability of GLP-1 drugs in pill form makes them ubiquitous, shrinking waistlines, even for p...
  • Dumb AI triggers trillion-dollar clean-up

    Outrageous Predictions

    Dumb AI triggers trillion-dollar clean-up

    Jacob Falkencrone

    Global Head of Investment Strategy

    Agentic AI systems are deployed across all sectors, and after a solid start, mistakes trigger a tril...
  • Quantum leap Q-Day arrives early, crashing crypto and destabilizing world finance

    Outrageous Predictions

    Quantum leap Q-Day arrives early, crashing crypto and destabilizing world finance

    Neil Wilson

    Investor Content Strategist

    A quantum computer cracks today’s digital security, bringing enough chaos with it that Bitcoin crash...
  • Taylor Swift-Kelce wedding spikes global growth

    Outrageous Predictions

    Taylor Swift-Kelce wedding spikes global growth

    John J. Hardy

    Global Head of Macro Strategy

    Next year’s most anticipated wedding inspires Gen Z to drop the doomscrolling and dial up the real w...
  • SpaceX announces an IPO, supercharging extraterrestrial markets

    Outrageous Predictions

    SpaceX announces an IPO, supercharging extraterrestrial markets

    John J. Hardy

    Global Head of Macro Strategy

    Financial markets go into orbit, to the moon and beyond as SpaceX expands rocket launches by orders-...
  • Britain’s Great EU Backdoor Return

    Outrageous Predictions

    Britain’s Great EU Backdoor Return

    Neil Wilson

    Investor Content Strategist

    Faced with rolling fiscal, economic, trade and political crises the UK government sneaks back into t...
  • Despite concerns, U.S. 2026 mid-term elections proceed smoothly

    Outrageous Predictions

    Despite concerns, U.S. 2026 mid-term elections proceed smoothly

    John J. Hardy

    Global Head of Macro Strategy

    In spite of outstanding threats to the American democratic process, the US midterms come and go cord...

This content is marketing material. 

None of the information provided on this website constitutes an offer, solicitation, or endorsement to buy or sell any financial instrument, nor is it financial, investment, or trading advice. Saxo Capital Market Ltd. (SCML) provides execution-only services, with all trades and investments based on self-directed decisions. Analysis, research, and educational content is for informational purposes only and should not be considered advice or a recommendation.

SCML content may reflect the personal views of the author, which are subject to change without notice. Mentions of specific financial products are for illustrative purposes only and may serve to clarify financial literacy topics. Content classified as investment research is marketing material and does not meet legal requirements for independent research.

SCML partners with companies that provide compensation for promotional activities conducted on its platform. Some partners also pay retrocessions contingent on clients investing in products from those partners. 

While SCML receives compensation from these partnerships, all educational and research content remains focused on providing information to clients.

Before making any investment decisions, you should assess your own financial situation, needs, and objectives, and consider seeking independent professional advice. SCML does not guarantee the accuracy or completeness of any information provided and assumes no liability for any errors, omissions, losses, or damages resulting from the use of this information.

Please refer to our full disclaimer and notification on non-independent investment research for more details.

Saxo
40 Bank Street, 26th floor
E14 5DA
London
United Kingdom

Contact Saxo

Select region

United Kingdom
United Kingdom

Trade Responsibly
All trading carries risk. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more
Additional Key Information Documents are available in our trading platform.

Saxo is a registered Trading Name of Saxo Capital Markets UK Ltd (‘Saxo’). Saxo is authorised and regulated by the Financial Conduct Authority, Firm Reference Number 551422. Registered address: 26th Floor, 40 Bank Street, Canary Wharf, London E14 5DA. Company number 7413871. Registered in England & Wales.

This website, including the information and materials contained in it, are not directed at, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in the United States, Belgium or any other jurisdiction where such distribution, publication, availability or use would be contrary to applicable law or regulation.

It is important that you understand that with investments, your capital is at risk. Past performance is not a guide to future performance. It is your responsibility to ensure that you make an informed decision about whether or not to invest with us. If you are still unsure if investing is right for you, please seek independent advice. Saxo assumes no liability for any loss sustained from trading in accordance with a recommendation.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc. Android is a trademark of Google Inc.

©   since 1992