GDP Switzerland 2025: +1.6% economic growth

Context

In a nutshell

• GDP 2025: +1.6%, stable compared to 2024 (+1.5%)
• Growing domestic demand (+2.5%), investments drive the economy (+3.5%)
• Rising financial (+6.6%) and chemical-pharmaceutical (+8.1%) sectors
• Imports increase faster (+11.7%) than exports (+5.9%)

Key facts

• What: Switzerland's annual economic growth — first estimates 2025
• When: 25 August 2026 (UST publication)
• Where: Switzerland
• Who: Federal Statistical Office (FSO)
• GDP: +1.6% at previous year's prices
• GNI: +2.5% at current prices

The Swiss economy maintains stable growth in 2025, with gross domestic product (GDP) increasing by 1.6% at previous year's prices. On August 25, 2026, the Federal Statistical Office (FSO) published the first estimates for 2025, confirming a trend consistent with the results of 2024, when growth had been 1.5% — a figure revised from the previous 1.4% initially reported. The maintenance of growth is linked to strong domestic demand, which stands at +2.5%, and robust investments increasing by 3.5%. The latter are the main pillar of the economic recovery, offsetting the contraction of the trade balance.

Gross national income (GNI) at current prices shows a 2.5% increase, thanks to the improvement in the balance of income with foreign countries. In line with the national audit policy, the UST has revised upwards the

Operational details

Which sectors drive economic growth

The Swiss economic fabric shows a differentiated performance between the various sectors. Manufacturing activities and the production of goods recorded a positive overall trend, with a growth rate of 2.4%. The main driver of this growth is the coke manufacturing sector, the refining of petroleum products, as well as the production of chemical and pharmaceutical products, which grew by 8.1%, confirming the strength of the Swiss chemical-pharmaceutical sector at the international level. Retail recorded a positive result both at current prices (1.6%) and at the prices of the previous year (3.0%). The high dynamism of trade, with commodity trade growing by 5.2%, supported the growth of trade as a whole.

The situation in the financial services sector is very positive, with an overall growth of 6.6%. This result is driven by sustained growth of 8.1% in the banking sector, recovering after a decline recorded in 2024, and a sharp increase of 7.6% in the added value of insurance. These figures reflect the strength of the Swiss financial centre and the centrality of the sector in the country's economic model. Banks and insurance companies continue to be crucial players in the national economy, generating significant added value and supporting exports of services.

Areas of weakness and

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Key points

Implications for the labor market and wages

A stable economic growth of 1.6% has direct repercussions on the Swiss labor market. The expansion of investments, particularly in the technological and high-quality manufacturing sectors (pharmaceutical-chemical sector grows by 8.1%), creates job opportunities and attracts talent. The 5.2% growth in the healthcare and social assistance sector represents an area with strong potential for hiring, considering the aging of the Swiss population and the continuous demand for qualified healthcare and assistance professionals.

For those working as employees in Switzerland, sustained economic growth and the solidity of the financial sector (6.6% overall growth) create favorable conditions for salary negotiations and career advancement. The expanding sectors, particularly pharmaceutical-chemical, banking, and healthcare, are historically among those with the most competitive salaries and superior corporate benefits. However, the faster increase in imports compared to exports (11.7% vs. 5.9%) signals pressure downward on the competitiveness of some traditional export-oriented sectors, which could limit wage growth in those specific sectors. Inflation, linked to the increase in civil engineering prices (growth of only 1.9%), could erode part of the nominal earnings if salary increases fail to keep pace with inflationary dynamics.

Real estate investments and pressure on housing costs

The 2.9% growth in the construction sector represents a significant opportunity but also a risk for those looking for a home in Switzerland. Investments in new construction remain solid, driven by a robust internal demand (+2.5%), but the increase in civil engineering prices (civil engineering +1.9%) could translate into higher rental prices and increasing property access costs over the years to come. Robust internal demand maintains upward pressure on property prices, particularly in urban areas with strong economic dynamism and concentration of financial and healthcare services.

For entrepreneurs and savers, the strength of the financial sector and the solidity of insurance (7.6% growth) signal a favorable environment for stock investments and long-term insurance products. Swiss banks, growing by 8.1%, continue to represent stable pillars of the national economic system and provide efficient financial services for managing assets. To monitor the evolution of Swiss cost of living and its direct relationship with economic growth, official tools aggregating UST data are available, allowing for regional and temporal comparisons.

Where to find complete data and in-depth tools

All data and detailed analyses on 2025 economic growth are available on the Swiss Federal Statistical Office (UST) website. The UST regularly publishes preliminary estimates, revised data, and in-depth analyses for each economic sector, enabling entrepreneurs, workers, and citizens to monitor the Swiss economy in real-time.

For those who want to understand the concrete implications of economic growth on wages, investments, and tax planning, useful calculation and comparison tools are available. The salary calculator allows simulating the impact of economic changes on one's paycheck and evaluating the prospects for retributive growth in different sectors. Job announcements (nav:jobs) offer a real view of available positions in expanding sectors identified by UST data, with a focus on pharmaceutical-chemical, healthcare, financial, and manufacturing. The tax return helps understand how changes in income reflect on federal, cantonal, and communal tax payments. Regularly consulting these tools enables aligning career and investment decisions with the real dynamics of the Swiss economy, maximizing opportunities and minimizing risks.

Source: admin.ch