ICYMI - Switzerland has slashed economic growth forecasts ...Middle East

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ICYMI - Switzerland has slashed economic growth forecasts

Both the Swiss government and the private KOF Swiss Economic Institute expect slower growth for the economy.

Switzerland's State Secretariat for Economic Affairs (SECO) Economic Growth Forecasts:

    2023: Swiss economy projected to grow 0.9% (down from a prior forecast of 1.2%).2024: Growth forecast revised to 1.5% (previously 1.6%).2026: First forecast predicts 1.7% growth.All forecasts are below Switzerland's long-term average growth of 1.8%.

    Factors Impacting Growth:

    Slower global demand, particularly from Germany and China, is weighing on exports.Domestic demand expected to drive growth in 2024.

    Risks Ahead:

    US trade policy, including tariffs under the incoming Trump administration, adds uncertainty.Broader international economic and trade policy remains unpredictable.

    KOF Swiss Economic Institute Forecast:

    Expects growth of 1.4% in 2025 and 1.7% in 2026.Predicts weak foreign demand until mid-2025, with gradual improvement thereafter. This article was written by Eamonn Sheridan at www.forexlive.com.

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