Nov 29, 2022
Swiss Growth Accelerates in Third Quarter on Household Spending and Trade
Bloomberg News
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(Bloomberg) -- The Swiss economy gained momentum in the third quarter on domestic spending and trade.
Gross domestic product expanded 0.2% from the previous three months, when it grew a revised 0.1%, according to government data published Tuesday. Private consumption increased 0.7%, while cross-border commerce grew 2.3%, snapping a year of negative readings.
Switzerland held up comparatively well both during the Covid-19 pandemic and now during the energy crisis that is weighing on most of Europe. It’s expected to dodge a recession, with economists in a Bloomberg survey predicting just one quarter of contraction this winter.
The Swiss government’s most recent forecast sees the economy expanding 2% in 2022 and 1.1% next year. Still, that’s largely dependent on the power supply and a serious gas or electricity shortage could severely hit output.
The Swiss particularly fear energy embargoes by their neighboring countries, which might not show the same solidarity toward non-European Union Switzerland as toward other nations. The government has passed emergency measures for rationing of gas in case of a supply crunch.
--With assistance from Joel Rinneby and Kristian Siedenburg.
©2022 Bloomberg L.P.