Switzerland to expect lowest annual growth since 2009

Xinhua, GENEVA: The annual economic growth of Switzerland in 2017 is expected to be below one per cent after revision, possibly the slowest since 2009, State Secretariat for Economic Affairs (SECO) said Saturday.

The latest statistics from SECO predicted a growth rate of 0.9 per cent for 2017, which has fallen from previous estimates of 1.4 per cent, possibly marking the worst-performing economic year since a 2.2 per cent contraction in 2009.

SECO said the economy is “only gradually resuming a stronger growth trajectory”, mostly due to slow growth in most service sectors, despite an uptick in the performance of the manufacturing, hotel and catering industries.

The figures are in line with similar downgrading of expectations by the Swiss National Bank.

Earlier this week, Credit Suisse revised its forecast from 1.5 to 1 per cent, noting decreased dynamism of some recent growth drivers including high immigration and a housing boom.

However, SECO seems to be optimistic that stronger growth would take off again next year, predicting a two-per cent growth for 2018, due to predicted global growth and the effect of the current depreciation of the Swiss franc.

Switzerland to expect lowest annual growth since 2009

Xinhua, GENEVA: The annual economic growth of Switzerland in 2017 is expected to be below one per cent after revision, possibly the slowest since 2009, State Secretariat for Economic Affairs (SECO) said Saturday. The latest statistics from SECO predicted a growth rate of 0.9 per cent for 2017, which has fallen from previous estimates of 1.4 per cent, possibly marking the worst-performing economic year since a 2.2 per cent contraction in 2009. SECO said the economy is only gradually resuming a stronger growth trajectory, mostly due to slow growth in most service sectors, despite an uptick in the performance of the manufacturing, hotel and catering industries. The figures are in line with similar downgrading of expectations by the Swiss National Bank. Earlier this week, Credit Suisse revised its forecast from 1.5 to 1 per cent, noting decreased dynamism of some recent growth drivers including high immigration and a housing boom. However, SECO seems to be optimistic that stronger growth would take off again next year, predicting a two-per cent growth for 2018, due to predicted global growth and the effect of the current depreciation of the Swiss franc.