The statistics service has revised its economic growth forecasts for 2018 and 2019, which have both been negatively affected by recent developments. On the flipside, Luxembourg's economic growth will have a revival in 2020.
Statec director Serge Allegrezza explained that the revision came as a result of international developments, namely the US-Chinese trade war and its technological side. The increasing escalation of the trade war will provoke a global slowdown, also affecting Europe. Given the impact on the Eurozone, whose growth has fallen to closer to 1%, Statec adjusted its calculations.
The statistics institute still expects another salary indexation in the fourth quarter of 2019.
