Coronavirus causes a recession in Austria
The corona pandemic and the measures taken to contain it are causing a considerable global economic downturn. For Austria, the Institute expects real GDP to decline by at least 2 % in the year 2020. This forecast is subject to an exceptionally high downside risk, as the depth of the economic slump will depend on the further course of the pandemic as well as on the macroeconomic support and health policy measures and their effectiveness. As a result of the partial halt in production, unemployment is rising sharply, at least temporarily. The extensive support measures taken by the Federal Government are necessary to stabilise the economy, but will place a considerable burden on the budget.