ZURICH The Swiss government on Thursday maintained its 2016 and 2017 economic growth forecast, while it now no longer expects price growth to return next year.
"The economic outlook thus remains positive, even if the 'Swiss franc shock' will likely continue to have some impact on the economy," the State Secretariat for Economic Affairs (SECO) said in a statement, referring to the sudden and sharp appreciation of the Swiss franc in January 2015.
In its economic forecasts that are updated every quarter, SECO said it expected Swiss economic growth of 1.5 percent, unchanged from its forecast in its September assessment. Economic growth for 2017 is expected at 1.8 percent, also unchanged from September.
In its first forecast for 2018, the Swiss government expects growth of 1.9 percent.
Inflation was forecast at -0.4 percent for this year and 0.0 percent in 2017, compared to -0.4 percent and 0.3 respectively in September. It sees price growth of 0.2 percent in 2018.
(Reporting by Zurich newsroom)