Raiffeisen raises Swiss GDP growth forecast for 2026

Raiffeisen economists have significantly raised their GDP growth forecast for Switzerland in 2026. The bank now expects a sport-event-adjusted GDP growth of 1.7 percent, a substantial increase from the previous projection of 0.8 percent. For 2027, the growth forecast remains at 1.3 percent.

Despite concerns regarding the conflict in Iran and energy price pressures, the Swiss economy has shown resilience. Industrial production and exports have gained momentum, with the pharmaceutical sector contributing approximately half of the 1.5 percent quarterly growth observed in the second quarter.

In addition to higher growth expectations, Raiffeisen has revised its inflation forecasts upward. For 2026, inflation is now projected at 0.7 percent, up from 0.5 percent, while the 2027 forecast has risen to 1.1 percent from 0.8 percent. Due to these developments and the perceived inadequacy of current zero-interest policies, economists suggest that the Swiss National Bank (SNB) may implement an interest rate hike as early as December.