by The pandemic has created major challenges at ports delivering goods around the world. Copyright 2021 The Associated Press. All Rights Reserved Swiss economic experts expect a significant economic slowdown as supply chain bottlenecks, inflation and pandemic restrictions persist in many parts of the world. On Thursday, the State Secretariat for Economic Affairs (SECO) announcedExternal link that the economic expert group has lowered the growth forecast for Switzerland for 2022 to 3% from 3.4%. It expects a growth rate of 2% for 2023 as “the economy normalises”. This would still be an above-average growth rate. While the Swiss economy has recovered well in the first half of the year with GDP rising above pre-crisis level of Q4 2019, SECO writes that “international
Topics:
Swissinfo considers the following as important: 3) Swiss Markets and News, 3.) Swissinfo Business and Economy, Business, Featured, newsletter
This could be interesting, too:
Nachrichten Ticker - www.finanzen.ch writes Krypto-Ausblick 2025: Stehen Bitcoin, Ethereum & Co. vor einem Boom oder Einbruch?
Connor O'Keeffe writes The Establishment’s “Principles” Are Fake
Per Bylund writes Bitcoiners’ Guide to Austrian Economics
Ron Paul writes What Are We Doing in Syria?
The pandemic has created major challenges at ports delivering goods around the world. Copyright 2021 The Associated Press. All Rights Reserved
Swiss economic experts expect a significant economic slowdown as supply chain bottlenecks, inflation and pandemic restrictions persist in many parts of the world.
On Thursday, the State Secretariat for Economic Affairs (SECO) announcedExternal link that the economic expert group has lowered the growth forecast for Switzerland for 2022 to 3% from 3.4%. It expects a growth rate of 2% for 2023 as “the economy normalises”. This would still be an above-average growth rate.
While the Swiss economy has recovered well in the first half of the year with GDP rising above pre-crisis level of Q4 2019, SECO writes that “international supply and capacity bottlenecks are putting pressure on the industrial sector and causing sharp price increases globally”.
Inflation in Switzerland is predicted to increase moderately to 1.1% on average for the year due to increased prices for energy and materials. Inflation rates are expected to peak in the current winter period. The Swiss inflation rate is still lower than global average. The inflation ratExternal linke in the United States was 6.2% in October – the highest in more than three decades.
The uncertainty surrounding the pandemic, most recently in connection with the Omicron variant, also pose risks to the economy. Assuming there are no severe restrictions such as lockdowns, economic recovery is not, however, expected to come to a standstill in the medium term.
The expert group expects the situation to improve in the middle of next year as supply chain problems dissipate and consumer spending, investment and exports increase.
However, the recovery could be delayed further if global capacity bottlenecks last longer and inflation leads to more price pressure and higher interest rates. If China’s real estate sector falters, this could also weigh heavily on the global economy, with consequences for Switzerland.
You Might Also Like
Controversial crypto exchange hopes for warm Swiss welcome
2021-11-02
Two months after paying a $100 million fine in the US for illegal trading operations, cryptocurrency exchange BitMEX is lining up a test for Switzerland’s financial regulator.
Swiss entities aim to be green pioneers
2021-10-21
Some government departments and 13 other Swiss entities have signed a pact to increase energy efficiency, expand renewable energies and make their investments “climate compatible”.
Credit Suisse offices raided over Greensill funds
2021-10-05
Swiss police have raided the offices of Credit Suisse and seized documents relating to the collapse of its $10bn fund range linked to Greensill Capital.
Parliament rejects blanket ban on tobacco ads
2021-09-23
The Swiss parliament has agreed new advertising and sponsorship regulations for tobacco products. However, the supporters of a total ban on tobacco advertising are unimpressed.
Swiss DLT stock exchange wins long-awaited license to operate
2021-09-11
A new Swiss stock exchange has been awarded a license to trade digital assets using distributed ledger technology (DLT).
Credit Suisse to face ‘tuna bonds’ trial
2021-08-05
The bank will face a trial over its role in Mozambique’s $2 billion (CHF1.8 billion) “tuna bonds” scandal, a fresh blow as it struggles to shake off a succession of crises that have plagued the group in recent years.
Why some wealth managers hate wealth
2021-08-02
“How can we [ . . .] fight increased inequality?” railed Ralph Hamers in a recent interview. To be clear, Hamers is not the boss of Unicef, or Oxfam or the Social Mobility Foundation. He is chief executive of Swiss bank UBS, one of the biggest beneficiaries of the widening wealth gap.
Credit Suisse carnage brings financial risk for banks into focus
2021-06-20
Credit Suisse’s disastrous Greensill and Archegos investments have highlighted the destructive side of banking. Regulators and politicians are asking what the Swiss bank did wrong and what can be done to protect investors from future risk-assessment failures.
Tags: Business,Featured,newsletter