Switzerland’s Economy Expected to Outperform in Q1 2024: SNB Report”.

Switzerland’s economy likely outperformed the previous quarters in the first quarter of 2024, according to a report by the Swiss National Bank (SNB). The central bank attributed this growth to increased dynamism across several economic indicators.

In the last quarter of 2023, the Swiss economy saw a modest growth of 0.3% compared to the previous quarter. However, the SNB noted that this growth was primarily driven by the service sector, while manufacturing remained stagnant. Despite facing challenges such as weak global demand and the Swiss franc exchange rate, companies in the manufacturing sector are under pressure on their profit margins due to limited pricing flexibility.

Following its decision to cut interest rates for the first time in nine years, the SNB also mentioned an improving business outlook. Service sector firms expect continued strong growth, while manufacturing companies anticipate an increase in sales. Despite these challenges, the central bank believes that overall economic conditions are showing signs of improvement.