Investment Buoyancy Supported by Manufacturing Industry

Gross fixed capital formation in Austria picked up markedly in 1988 and will further accelerate in 1989. Yet, investment is still below typical levels in cyclical peaks, as a ratio of GDP it is lower than in 1980. Commercial trade, construction, and a number of service industries took the lead in capital spending in 1988; in 1989 manufacturing industry and the electricity companies also envisage a substantial increase in their investment outlays.