The Swiss economy grew by 1.5 per cent in the second quarter of 2026, its strongest performance in almost five years, as a sharp rebound in the chemical and pharmaceutical sector lifted activity.
The increase, reported by Switzerland’s State Secretariat for Economic Affairs (SECO), followed growth of 0.5 per cent in the first quarter. It was the fastest quarterly expansion since the third quarter of 2021, when the economy was recovering from the effects of the Covid-19 pandemic. ([seco.admin.ch](https://www.seco.admin.ch/en/newnsb/xrrzuLVT1pbC?utm_source=openai))
Industry provided the main impetus. Manufacturing value added rose by 4.5 per cent, while the wider industrial sector expanded by 3.9 per cent.
The chemical and pharmaceutical industry recorded growth of 10.5 per cent after several weak or negative quarters. SECO said the recovery reflected higher exports and sales, while other manufacturing industries grew by a more modest 0.7 per cent. ([seco.admin.ch](https://www.seco.admin.ch/en/newnsb/xrrzuLVT1pbC?utm_source=openai))
Services also increased overall, with growth spread across a range of industries. Domestic demand recovered after a subdued start to the year, while government consumption rose by 0.4 per cent and investment recorded gains.
Construction investment increased by 0.7 per cent, supported by non-residential building and civil engineering, although residential construction edged lower. Investment in equipment rose by 0.8 per cent, mainly because of increased spending on vehicles and research and development.
Imports also grew, rising by 2.2 per cent as domestic demand strengthened. The figures were unchanged from SECO’s preliminary estimate published in August. ([seco.admin.ch](https://www.seco.admin.ch/en/newnsb/xrrzuLVT1pbC?utm_source=openai))
Economists said the figures pointed to resilience in the Swiss economy despite higher energy costs and geopolitical uncertainty. Thomas Gitzel, an analyst at VP Bank, said a recovery in European industry could provide further support, particularly if momentum strengthened across the single market.
He cautioned, however, that the second-quarter performance was unlikely to be repeated immediately on the same scale, even though growth was expected to remain comparatively robust in the near term.
