By Neil MacLucas
ZURICH--Switzerland's economic growth was steady in the fourth
quarter, underpinned by robust private and public spending, data
released Tuesday showed.
Gross domestic product in the three months through December rose
0.6% from the previous quarter and 1.9% on the year, the State
Secretariat for Economic Affairs said. The result was above
economists' expectations for a quarterly gain of 0.4% and an
on-year expansion of 1.8%.
In the third quarter, the economy expanded 0.7% on-quarter and
1.9% on-year, the economics department said. Growth for the full
year edged up to 2.0%, from 1.9% in 2013.
The main drivers of Swiss fourth quarter growth were private
consumption, which rose 0.3% and government spending, which
increased 1.9%, it said.
Swiss goods exports slipped 1.0% on-quarter, with higher sales
of railroad vehicles failing to offset a decline in chemicals,
pharmaceuticals and machinery products.
The Swiss economy again outperformed its key export market, the
European Union, which posted quarterly growth of 0.4% and annual
expansion of 1.3% in the fourth quarter.
This scenario however is likely to change this year after the
Swiss National Bank's abandoning of its 3 1/2-year policy of
capping the franc at 1.20 per euro, which helped Swiss exporters to
the EU keep their prices down.
The economics department--which had projected Swiss GDP to grow
2.1% this year before the SNB decision, will update its GDP,
inflation and unemployment forecasts on March 19, as will the Swiss
central bank.
Write to Neil MacLucas at neil.maclucas@wsj.com