(13.03.2024) The business situation in Switzerland has seen little change since autumn 2023. In February 2024, the Business Situation Indicator from the KOF Swiss Economic Institute stood at 14.0, which is 0.4 points higher than the previous month and 0.3 points higher than in October 2023.
The downward trend that began in the summer of 2023 seems to have reached a sustained pause. However, the authors of the study note a contrasting situation among different sectors.
In financial services, there has been significant improvement (55.6 / + 6 points). While in the retail sector, large enterprises are now operating in a favorable climate, medium-sized retailers feel that the economic situation is more mixed than before. Overall, the sector has progressed by 2.5 points on a monthly basis.
Both the manufacturing industry and construction sectors continue to face pressure. Manufacturing production and inventories have marginally decreased in recent months, and while construction activities have increased it is not enough to inspire optimism among industry players. Consequently, the Business Situation Indicator for these two sectors saw a slight decline in February 2024.
Regionally, the economic outlook seems to be better in most regions. Northwestern Switzerland (AG, BL, BS) and the canton of Zurich are experiencing the highest rates of growth. However, the economic situation is less bright in the Lake Geneva region (GE, VD, VS) and on the Swiss Plateau (BE, FR, JU, NE, SO). Elsewhere, the Business Situation Indicator remains steady or exhibits a slight improvement.
Finally, according to the KOF's "Business Cycle Clock," which combines the Business Cycle Barometer and the Business Situation Indicator, the economic situation in February 2024 narrowly fell within the recovery zone.
Last modification 13.03.2024
