International Downturn Weighing on Economic Activity in Austria

Following a slowdown of economic expansion in Austria in the second quarter (+0.4 percent quarter-on-quarter, seasonally adjusted, +2.0 percent year-on-year), firms' expectations regarding business conditions in the months ahead are deteriorating further. Weak demand from major trading partners is weighing on exports and industrial activity in Austria. Manufacturers assess their order book levels as below average. Stimulus is being provided by the construction sector.