Weak European growth dampens Swiss economic expectations

The flagging French and German economies, plus a strong franc, have depressed expectations for Swiss economic growth both this year and in 2025. +Get the most important news from Switzerland in your inbox The KOF Swiss Economic Institute is now only expecting real gross domestic product (GDP, adjusted for sporting events) to grow by 0.9% this year instead of the previous 1.1%, according to a statement on Tuesday. The forecast for 2025 has also been reduced from 1.6% to 1.4%. For 2026, the KOF remains at 1.7%. The Swiss government's group of experts has also lowered its growth outlook for the current and coming year. For 2024, they are now only forecasting an increase in GDP (adjusted for sporting events) of 0.9%, as announced by the State Secretariat for Economic Affairs (Seco). Previously, the experts had assumed 1.2%. For 2025, the federal economists now expect GDP growth of 1.5%. In September, they had still forecast growth of 1.6%. And for the first time, there is also a ...