The Swiss economy is expected to grow faster than previously estimated this year as the easing of coronavirus measures triggered a swift recovery, the State Secretariat for Economic Affairs, or SECO, said in its quarterly economic forecast, released Tuesday.

The expert group of the federal government forecast gross domestic product to grow 3.6 percent this year instead of 3 percent growth estimated previously. The projection for 2022 was retained at 3.3 percent.

GDP is expected to reach well above the pre-crisis level in the second half of 2021.

Companies are projected to raise their investments and expand their workforces. Short-time working is likely to be reduced gradually and unemployment should fall further, the agency said.

The unemployment rate is expected to come at an annual average of 3.1 percent for 2021 versus 3.3 percent projected in March. The rate is seen falling to 2.8 percent next year.

According to SECO, consumer prices are forecast to rise 0.4 percent this year, unchanged from the previous estimate. The projection for 2022 was raised to 0.5 percent from 0.4 percent.

The material has been provided by InstaForex Company – www.instaforex.com

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