Modest Growth Replaces Recession. The Austrian Economy in 2025

Josef Baumgartner, Juergen Bierbaumer-Polly, Sandra Bilek-Steindl, Benjamin Bittschi, Christian Glocker and Margit Schratzenstaller
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Benjamin Bittschi: WIFO
Christian Glocker: WIFO

WIFO Reports on Austria, 2026, issue 6

Abstract: Following two years of recession, Austria's economy grew modestly again in 2025 (+0.6 percent in real terms). While industrial growth gradually gathered pace, the construction sector experienced further losses in value added. The general government deficit stood at 4.2 percent of GDP. Weak growth in real incomes dampened consumer spending, and the savings rate fell sharply. Inflation rose significantly, particularly due to the expiry of the electricity price cap and increases in charges, averaging 3.6 percent for the year.

Keywords: Economic; development; in; Austria (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:wfo:repoau:y:2026:i:6

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