The UniCredit Bank Austria Business Indicator provides an overview of the current economic situation in Austria.
Economic environment continues to improve but pace of recovery slowing
- UniCredit Bank Austria Business Indicator up in September for fourth consecutive month, at minus 0.9 points, but month-on-month improvement is tailing off significantly
- Mood in the construction sector vastly improved; moderate tailwind in the service sector and significant ongoing challenges for industry despite further improvement in the export environment
- Double-digit GDP growth in Q3 2020 following the slump in H1. Sharp reduction in growth nevertheless expected due to the rebound effect running its course and recent developments with the coronavirus pandemic
- Despite anticipated GDP growth of around 5% for 2021, economic output in Austria set to remain below pre-crisis levels until the start of 2022 following historic slump of at least 6.3% in 2020
- Labour market likely to feel the effects of the pandemic for a long time to come
- Figure of 1.4% for 2020 takes inflation above the eurozone reference value for the twelfth consecutive year
as of 15 October 2020.