GDP growth expected to slow

The Swiss Institute for Business Cycle Research (KOF) is predicting that economic growth will slow in the next six months.

The institute’s leading indicator for the Swiss economy fell to 1.09 in October from a downward revised 1.14 in September. This signals how gross domestic product should perform in six to nine months’ time.

“The slowdown in GDP growth will last past the end of the year, according to the KOF cycle barometer’s trend information,” KOF said in a statement.

It noted that there had been a steady rise in industrial orders in recent months, but said growth had been somewhat weaker than in the first half of the year. Orders rose only slightly with fewer companies planning to boost component purchases.

However, the latest KOF survey in October showed that private households regarded their financial situation in the coming year just as favourable as in July.

swissinfo with agencies