Source : WAM
Austria’s economy is showing clear signs of recovery following an extended recession, leading major economic research institutions to revise their growth outlooks upward for the coming years.
Forecasts from the Austrian Institute of Economic Research (WIFO) and the Institute for Advanced Studies (IHS) indicate that the country’s gross domestic product is expected to expand by 0.5 percent in 2025, with growth accelerating to as much as 1.2 percent in 2026.
Looking further ahead, WIFO and IHS project economic growth of 1.4 percent and 1.1 percent, respectively, in 2027.
Inflation is also anticipated to moderate, decreasing from an average annual rate of 3.6 percent in 2025 to 2.5 percent in 2026, before easing further to 1.9 percent in 2027.
The recovery is expected to support improved labour market conditions, with the unemployment rate forecast to decline from 7.4 percent in 2025 to 7.1 percent by 2027.
