Swiss Economy Grows 1.5% in Q2 2026, Fastest Since Q3 2021

The State Secretariat for Economic Affairs announced on Thursday that Switzerland’s economy grew at its fastest pace in approximately five years during the second quarter of 2026.

Gross domestic product rose by 1.5% compared with the first quarter of 2026. This marks the strongest quarterly expansion recorded since the third quarter of 2021.

Industrial and sectoral drivers

The chemicals and pharmaceuticals sector contributed most significantly to the growth. Industrial output overall increased by 3.9%, supported by a 4.5% rise in industrial production. Final domestic demand rose by 0.5% following a weak first quarter.

Private consumption climbed by 0.3%, driven by spending on health, food, restaurants, and housing. Government consumption rose by 0.4%.

Trade performance and outlook

Goods exports increased by 5.5%, while services exports rose by 1.6%. Imports rose by 2.2%, reflecting robust domestic demand. The Swiss National Bank projects economic growth of around 1% for 2026 and 1.5% for 2027.

Inflation accelerates in August

Separate data released on Thursday showed that the inflation rate rose more than expected—to 0.8% in August—its highest level since September 2024. That compares with 0.4% in July.