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The Vaud Canton's economy remains on course in spite of the international slowdown

The Vaud Canton's Statistics Department has published its analysis of the canton's economic climate in the first three quarters of 2019 :

“Although the economic forecast for the Canton of Vaud, Switzerland and worldwide have regularly been adjusted downwards throughout the year, the last economic indicators available in the third quarter of 2019 show a positive outcome for the economy of the Canton.

After three quarters of the year, the employment rate has significantly increased (+10900 jobs) compared to last year, with a considerably higher growth rate compared to Switzerland as a whole (+2.5 % vs +1.3%).

Even if exports (as a whole) did not reach 2018's levels (-3%), most economic sectors did in reality increase their exports. The population growth stays solid (+6400 inhabitants) and continues to provide domestic demand. This is also supported by a continued low unemployment rate (3.4%).

When directly asked about the state of their businesses, entrepreneurs in the Vaud Canton have for the most part described 2019 as a good year and are more optimistic on their businesses' development in the coming months than the Swiss average.

The current all-time high employment rate in the construction sector had not been reached for at least 10 years. These intermediate results are encouraging given the fact that on the international level, the economic slowdown looms over the economy as a whole.

The last GDP forecasts for the Canton of Vaud, adjusted downwards, shows indeed a 1.4% growth for 2019 and a 1.5% growth for 2020. These forecasts take into consideration the consequences of the growing trade tensions between the United States and China, the weak economic growth within the Euro zone and the general atmosphere of uncertainty which is also fueled by the approaching Brexit. This climate of uncertainty has also bolstered a slight appreciation of the Swiss franc, still a safe investment currency on global markets, which tends to stifle the Swiss and the Vaud Canton's economic growth. The scenario for the year ahead is still far from recession or zero growth.”