Western Austria Enjoyed Slightly Better Economic Growth in 1999

Regional differences in the economic growth rates were lower in 1999 than in years of a constant economic upswing. Throughout 1999, economic growth in Austria was impaired by a slack which was not taken up until the mid-year, but then expanded at a brisk pace. At altogether 2.2 percent, economic growth in 1999 was markedly lower than in the previous years. In spite of a more even development in general, the gross value added by the Austrian Länder demonstrated a clear decline from West to East. Contrary to the overall rate, dynamic growth continued in the west (a plus of 2.6 percent in 1999), and the western Länder added a gross value ranging from 2.0 percent (Salzburg) to 2.9 percent (Tyrol). Annual averages were slightly lower in the Southern Länder than in the East (+1.7 percent compared to 1.9 percent respectively). The southern part lagged behind in the first six months and was unable to catch up in spite of a rapid rally for the rest of the year, resulting in Carinthia tailing behind in economic growth rates (+1.1 percent). In the East the economy developed unevenly and asynchronously. Thanks to good growth at the start of the year, Burgenland generated the highest annual average growth rate (+2.6 percent), although its growth fell off substantially in the second half of the year. Lower Austria, on the other hand, excelled during the recovery phase (1999: +2.5 percent). Vienna showed no remarkable growth impetus the year round (+1.5 percent).