Following Slowdown in Growth, Sentiment Brightens in Austria

Austrian economic output contracted moderately in the fourth quarter of 2012. The slower pace of growth was mainly attributable to the weak global economy and the associated decline in international capital and trade flows. At the beginning of 2013, global economic activity picked up again. Emerging market economies are the main drivers of this stabilisation. However, global growth prospects remain surrounded by downside risks stemming from the sovereign debt crisis in Europe and uncertainties about fiscal developments in the USA.