The Swiss National Bank (SNB) said in its quarterly bulletin on Wednesday that economic momentum in the country is expected to "remain weak" in the third quarter of 2023.
The bank stated that manufacturing is expected to stay "lacklustre," while the outlook in the services sector is "somewhat more positive." The country's economy is still seen expanding by 1% this year with third-quarter GDP growth expected to be weak as a result of the "loss of purchasing power due to inflation" and "more restrictive financing conditions."
Reflecting on the global economy, the SNB noted it is also set to remain "subdued," mainly "due to tighter monetary policy, less expansionary fiscal policy and the loss of purchasing power due to inflation in the recent past" and added inflation is expected to remain "elevated worldwide for the time being."
