ZURICH (Reuters) -The Swiss government cut its growth forecast for 2025 and 2026 on Monday, as the export-orientated economy braces itself for the impact of the global trade war.
The Swiss economy, traditionally one of the most robust in Europe, is expected to grow by 1.3% in 2025, a downgrade from the government’s March forecast of 1.4%.
The State Secretariat for Economic Affairs (SECO) also cut its forecast for 2026 growth to 1.2% from 1.6% previously, with exports expected to fall.
Both figures, which were adjusted for the impact of sporting events, were below the country’s long-term average growth rate of 1.8%
“Uncertainty regarding international trade and economic policy remains high and is shaping the outlook for both the global and Swiss economies,” SECO said.
Although Switzerland had seen strong economic growth at the start of the year, this was driven largely by exporters rushing through shipments ahead of the introduction of U.S. tariffs.
“Performance is expected to weaken significantly for the remainder of the year,” SECO added.
(Reporting by John Revill, editing by Rachel More)
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