Experts optimistic on economy

Financial experts in Switzerland are optimistic about the development of the Swiss economy. A survey among them published by the Swiss news agency foresees a rise in GDP of between 1.7 and 2.5 per cent for the year 2000.

Financial experts in Switzerland are optimistic about the development of the Swiss economy. A survey among them published by the Swiss news agency foresees a rise in GDP of between 1.7 and 2.5 per cent for the year 2000.

The growth forecasts for the fourth quarter of 1999 over the previous three months, vary among the analysts from 1.8 to 3.2 per cent. Definitive economic growth figures for 1999 are due to be published on Thursday.

The most optimistic figure was put forward by Banque Pictet in Geneva, which says that economic recovery strengthened towards the end of the year with strong exports and very good domestic demand.

Credit Suisse is more reserved with its forecast of 2 per cent, while the business research centre at the Federal Institute of Technology in Zurich is the most conservative, with a projection of 1.8 per cent.

On average, the economists questioned believe that annual growth last year will be between 1.4 and 1.5 per cent. They are even more confident for the year 2000.

Banque Pictet analyst Bernard Lambert believes growth will remain vigorous this year. “European demand will remain very strong, the Swiss franc will be very competitive and we’re seeing a relaxation on the budgetary side after years of austerity which put a brake on the economy,” he says.

“There is no longer any doubt that we are moving towards years of very good growth,” Lambert added.

From staff and wire reports