Swiss economy shows new signs of recovery

Swiss economy shows new signs of recovery
Consumer spending is set to rise. Photo: Photopress Gaetan Bally.jpg
The Swiss economy is in good health – despite a dip in the third quarter of this year – and is set for continued growth, according to government economists.

In a news release on Thursday, the State Secretariat for Economic Affairs (SECO) said there were signs of a “pick-up in growth” after three months of near stagnation.

The global economy is expected to lend momentum to the upturn in Switzerland, and gross domestic product (GDP) will end the year up 1.5 percent.

And SECO forecasts that the economy will grow even faster in 2017 and 2018, by 1.8 percent and 1.9 percent respectively.

Growth will be driven both by domestic demand and by foreign trade.

“The economic outlook thus remains positive, even if the ‘Swiss franc shock’ will likely continue to have some impact on the economy,” the statement said.

SECO also has good news on the job front, saying that unemployment – currently standing at 3.3 percent – will likely fall gradually to 3.2 percent next year and 3.1 percent in 2018.

The recovery on the labour market and a moderate rise in wages will give householders more money in their pockets and should boost consumer spending next year.

Zero inflation is predicted for 2017.

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