The bank Raiffeisen has cut its Swiss growth forecast for this year and next, blaming the ongoing war in the Middle East.
Economists at the cooperative now expect GDP to rise by just 0.8% in 2026 and 1.3% in 2027 - a tenth of a percentage point lower than its early-May figures.
Inflation has been revised the other way, with consumer prices now expected to climb 0.7% this year.
The bank says the Middle East conflict is squeezing global demand and slowing Europe's industrial recovery.
Swiss Post announce job cuts
Swiss Post will eliminate up to 110 positions in 2027, blaming shrinking letter volumes and fewer over-the-counter transactions
Autumn arrives in Switzerland
The heatwave that has gripped Switzerland since May finally breaks tomorrow
Driver warning in Vaud
Drivers in western Vaud face four nights of disruption on the A1 next week.
Mixed results in school classrooms
Swiss 15-year-olds still rank among the world's best in maths and science, but their performance in reading and maths is sliding
Good news for household bills
Swiss households will pay a little less for electricity next year
Fuel reserves now in use
Switzerland is dipping into its emergency fuel reserves for the first time this year to keep petrol and diesel flowing
