UBS predicts strong growth for Swiss economy

Switzerland's biggest bank, UBS, is predicting a strong economic recovery, after final quarter figures for 1999 showed the economy was now performing better than at any time in the past ten years.

Switzerland’s biggest bank, UBS, is predicting a strong economic recovery, after final quarter figures for 1999 showed the economy was now performing better than at any time in the past ten years.

A UBS survey of 300 Swiss industrial concerns showed a strong upturn in performance in the months from October to December 1999, with growth of 2.8 per cent. It says growth has now reached levels not seen since 1990 – before Switzerland went into recession.

The UBS survey is regarded as a barometer of gross domestic product in Switzerland.

UBS predicts a further improvement in the first quarter of this year, with growth rising to more than three per cent.

Inflation has also risen in the past month, by 0.1 per cent, according to the federal statistics office. This represents an annual inflation figure of 1.6 per cent.

The increase is being blamed on a rise in fuel oil prices and the cost of radio
and television licences.

From staff and wire reports