Swiss GDP grew by 1.8% in the second quarter of 2021 after contracting by 0.4% in the first quarter of the year, according to figures published by Switzerland’s State Secretariat for Economic Affairs.
Much of the bounce back was in the services sector as Covid measures were relaxed.
Private consumption recovered strongly and industry also grew, although not as strongly as in previous quarters. In the second quarter of 2021, total GDP was only 0.5 % lower than the pre-crisis level seen in the fourth quarter of 2019.
Accommodation and food services (+48.9 %) recovered strongly after losing ground in the last quarter of 2020 and the first quarter of 2021. Arts, entertainment and recreation (+52.9 %) also registered strong growth thanks to a loosening of Covid measures. However, performance remained below pre-crisis levels.
Trade (+4.8 %) also grew and increased mobility among the population brought growth to transport and communication (+1.9 %) and business-related services (+1.1 %). Financial services (–0.7 %) was the only service sector to register a meaningful decline.
With the easing of Covid measures, private consumption (+4.1 %) rose strongly after the marked declines of the winter quarters. Households increased their consumption expenditure in almost all sectors. Government consumption (+5.5 %) grew even more strongly, due to extraordinary expenditure to cope with the pandemic.