Swiss Economy Slows in 2026 as Exports Struggle
The Swiss economy is set to grow at a slower pace in 2026, according to the latest forecast by the Swiss government's Expert Group for Economic Forecasts within the State Secretariat for Economic Affairs (SECO). The growth rate for 2026 has been revised down to 0.9%, while the 2025 forecast remains at 1.3%.
SECO predicts a growth rate of 1.3% for the current year and 0.9% for 2026. This revision comes amidst mixed signals from the Swiss export sector. After a weak August, exports rebounded slightly in September, with total exports rising by 3.4% to 22 billion Swiss francs. However, exports fell by 3.9% over the third quarter compared to the previous period. The watchmaking sector, a key contributor to Swiss exports, has been under pressure, with exports declining for the second consecutive month.
On the other hand, exports to the U.S. showed notable improvement in September after a significant drop in August. The U.S. dollar initially dipped in response to the trade data but later rebounded. Meanwhile, the euro hit a record low against the Swiss franc on Tuesday, dropping to 0.9210 francs. Total imports also increased by 9.4% in September, reaching 19.9 billion francs.
The Swiss economy is expected to grow at a steady but slower pace in the coming years. While exports showed signs of recovery in September, the overall trend remains cautious, with the watchmaking sector facing persistent pressure. The Swiss franc has strengthened against the euro, reflecting the mixed signals from the export sector.
