Swiss Economy Shows Signs of Life as Vaccinations Gain Pace
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Switzerland’s economy is bouncing back from the pandemic-induced slump, with manufacturing sector activity at an all-time high and companies gearing up to take on more staff.
The purchasing managers’ index for industry hit its highest since at least 1995 in April, with a gauge for the service sector also signaling a pickup.
Monday’s data come on the back of a strong jump in retail sales for nearly 23% surge in March and add to evidence that the Swiss economy is quickly regaining its pre-crisis form. That’s prompting business to think about hiring again and the surge in demand is also lifting some prices.
“The latest survey reflects the favorable demand situation in manufacturing industry across the world,” authors procure.ch and Credit Suisse Group AG wrote. “Demand for goods should generally be above-average at present because households’ consumption options are limited by lockdowns.”
Having been slow to get off the ground, Switzerland’s Covid-19 immunization drive is accelerating and the government hopes to get the public vaccinated this summer. Restaurant have reopened outdoor dining, as have theaters, gyms and cinemas.
The upbeat outlook was shared by the KOF Swiss Economic Institute, which found that for the first time since the onset of the pandemic, more firms planned to take on new staff rather than cut workers.
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