Economic pull back predicted

Economists are downgrading their predictions for growth for this year and 2026.

The State Secretariat for Economic Affairs says a ‘general climate of uncertainty’ is limiting investment decisions. But it doesn’t believe there will be an escalation in the trade war.

It’s now predicting a growth rate of 1.4% this year – down point 1 percent and a similar fall for 2026 at 1.6%.

It also says it expects a significant slowdown in the United States, but a timid recovery in the EU. 

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