I thought the cliche was that France was incredibly bureaucratic and privilege-riddled...
And yet somehow that horrible bureaucracy is capable of making the worlds best healthcare system and being the country that really makes nuclear energy work, and through a state planned approach to boot.
That's because it's a cliche, so it's not exactly true. In my experience French bureaucracy is about as horrible as ours, just different.
I think the Japan in the 70s and 80s is a pretty apt comparison here. When the exports are doing well people give them outsized importance and project the stereotype to the culture as a whole. But when France passes Germany, which it will due to demographic shifts, the legend of the German economic might will be forgotten as quickly as 1000 years of French military domination was. The Japanese domestic services and agriculture that are now famously inefficient and bloated aren't a new development, but the way they are blamed is. I doubt that France will get noticeably better or Germany noticeably worse but the narrative sure is going to change.
German economic power is rooted in the 19th century, when Germany started having enormous population growth, while France was rather shrinking throughout the century, so of course that could be reversed at some point in the future.
France should pass Germany in population around 2050, if current growth/shrinking trends continue. What effects that will have is an entirely different matter. Both France and Germany are not exactly well prepared for the coming demographic changes, the welfare systems become increasingly difficult to finance, which has a lot of potential for social strife in the future. France is incredibly difficult to reform and Germany seems to be moving away from the cutback policies of recent years, possibly on the backs of the younger generation though.
Also there is a lot of potential for cultural unrest in France, the current birth rates are at least partially due to muslim and/or african immigrant families having higher birth rates. This has created a weird climate with both riots by disenfranchised immigrant youth and a political rise of nationalist far-righters.
So while France has a lot of potential, it has a lot of problems too, and I doubt the current government has any ideas how to solve them.