Switzerland's economy is now seen growing at a stronger rate than previously expected in 2026 following an "exceptionally strong" gross domestic product expansion in the second quarter, according to the Federal Government Expert Group on Business Cycles.
The Swiss State Secretariat for Economic Affairs said Thursday the expert group now expects GDP growth, adjusted for sporting events, to come in at 1.7% in 2026, up from its June forecast of 0.9%. Meanwhile, the 2027 GDP growth forecast was unchanged at 1.6%.
Not adjusted for sports events, Swiss economic growth is anticipated at 2.1% in 2026 and 1.2% in 2027.
As for consumer prices, the inflation estimate for 2026 and 2027 was maintained at 0.6%. The expert group also affirmed its unemployment rate outlook of 3.1% for 2026 and 3% for 2027.
Nevertheless, SECO noted that escalating Middle East tensions, elevated energy costs, and persistent trade policy uncertainties present "significant" risks to the economic outlook.