The news is “very good” for the Wad economy, its gross domestic product (GDP) and its growth. Still moderate in 2024, it may accelerate in 2025. On top of that, companies continue to create jobs at a steady pace.
“In a depressed global economy, the Vaud economy is showing itself strong,” confirmed the partners of the Conjuncture Vaudois, the Banque Cantonale Vaudois (BCV), the Vaud Chamber of Commerce and Industry (CVCI) and the State of Vaud in Lausanne on Tuesday. Represented by the Service for the Promotion of the Economy and Innovation (SPEI) and the Statistics Division.
The canton’s GDP stood at 1.2% in 2023, which is lower than the average of the last ten years (1.9%). According to the latest forecasts published by the Vaud Conurbation Commission, in the absence of a boom in the global economy, growth rates will remain moderate this year, with GDP expected to increase by 1.1%.
“On the other hand, it could rise by 1.8% next year with the expected rebalancing of the global economy, however, risk factors remain numerous, including the tense geopolitical situation,” she points out.
vaudois property
“Slow growth is expected in 2024 with an improvement forecast for 2025. The current situation is generally quite good. Not excellent or very good, but not at all bad. The unemployment rate is low and job creation very positive. ”, summarized Jean-Pascal Bachelard, BCV’s economic advisor.
In the last quarter of 2023, job creation for Vaud increased by 2.4% compared to 1.7% for Switzerland.
The magic formula that smiles on the Canton of Vaud is always the same: the strength of the domestic economy which can be explained by the variety and diversity of businesses on Vaud soil, whose economic fabric has adapted, activated and continuously regenerated since the crisis . The 90s have been associated with a positive demographic dynamic with an increasing number of consumers.
Simply put, there are both small SMEs and multinational companies, there is a lot of innovation, from new technologies and especially “med-tech” to the agro-food industry through chemistry-pharmaceutical or even watch manufacturing. There are very diverse areas. “For example, this allows the canton of Vaud to be less euro-dependent than Switzerland,” explained Claudio Bologna, project manager of Statistic Vaud.
exports decreased
Another observation to highlight: a 5.1% decline in Vaud exports in 2023. “This is linked to higher inflation and therefore a decline in external demand, especially in the euro zone,” Mr Bologna said.
At the branch level, chem-pharma should show strong growth (above 2%) this year and next. In commerce, strong growth in 2024 could give way to moderate growth (0.5% to 2%) in 2025.
Business services and real estate activities may experience stagnation (change between -0.5% and +0.5%) this year, then strong growth next year. Also expected to remain stable in 2024, public and semipublic services as well as financial services may show moderate growth in 2025.
After moderate growth this year in the hotel and catering industry, stagnation is possible next year. The machinery and watch manufacturing industry may experience a moderate decline (between -0.5% and -2%) in 2024 and 2025.
In transport and communications, as well as construction, a sharp decline in activity this year (more than -2%) may be followed by a moderate decline next year.