Navigation

IMF urges Swiss to step up recession fight

The International Monetary Fund (IMF) says Switzerland may need another stimulus package as the economy slips into a "significant" recession in 2009.

This content was published on May 27, 2009 - 08:48

According to a yearly report the IMF released on Tuesday, researchers project that Switzerland's economy will shrink three per cent on downturns in exports and troubles in the country's financial sector.

"Given Switzerland's openness and the size of its financial sector, the economy is projected to experience a significant contraction in the near-term with sizable downside risks to the outlook," the IMF wrote in an annual review of the country.

The forecast is in line with those from other economic observers. The KOF Swiss Economic Institute in Zurich earlier this month said a dramatic downturn was indeed likely. It noted that exports, a key sector for Switzerland, were 14 per cent lower in the first quarter of 2009.

Researchers at the Créa Institute of Applied Macroeconomics at Lausanne University have predicted the economy will contract 3.2 per cent in 2009 and 0.8 per cent in 2010.

swissinfo.ch with agencies

Articles in this story

This article was automatically imported from our old content management system. If you see any display errors, please let us know: community-feedback@swissinfo.ch

In compliance with the JTI standards

In compliance with the JTI standards

More: SWI swissinfo.ch certified by the Journalism Trust Initiative

Contributions under this article have been turned off. You can find an overview of ongoing debates with our journalists here. Please join us!

If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.

Share this story

Change your password

Do you really want to delete your profile?