Regional Disparities in a Persistently Weak Economy

The WIFO Economic Outlook from October 2024 shows that the economic situation in Austria remains difficult. After GDP shrank in 2023, a further decline of 0.6 percent is expected for 2024, before a moderate recovery sets in in 2025. Weaknesses are particularly evident in manufacturing, construction and trade, while the labour market remains stable. There are clear regional differences: Vienna and Salzburg are recording quite robust developments in gross value added in the first half of 2024, while Upper Austria and Carinthia are particularly affected by the economic downturn.