Economy Swiss GDP grew slightly above average in the 2nd quarter

The Swiss economy grew more strongly in the second quarter of 2024 than in the previous quarters. The slightly above-average result was driven by strong expansion in the chemical and pharmaceutical industry.

Real gross domestic product (GDP) increased by 0.5% in the period from April to June 2024 compared to the previous quarter, as announced by the State Secretariat for Economic Affairs (Seco) on Tuesday. In the two previous quarters, growth was 0.3% in each case.

The latest GDP figure does not come as a complete surprise: Seco had already measured a figure of 0.5 percent two weeks ago in an initial flash estimate.

The figure is adjusted for major sporting events. It is well known that the Olympic Games and major football events distort Swiss GDP due to the licensing income received by the sports associations based in Switzerland. Without adjustment, GDP growth was slightly higher at 0.7 percent.

Strong exports

According to the Seco figures, value added in the manufacturing sector, i.e. in traditional industry, grew at an above-average rate of +2.6% in the second quarter. The chemical-pharmaceutical industry in particular (+8.4%) achieved strong quarterly growth thanks to the dynamic development of exports, according to the report.

In the other industrial sectors, however, value added declined - in line with the weak development of industry in other European countries.