Swiss economy could shrink by 10.4% due to coronavirus - govt

The Swiss economy could contract by as much 10.4% this year due to the impact of the new coronavirus, the Swiss government said on Wednesday. The downgrade, from the government's previous forecast of a 1.5% contraction, would occur if there was a prolonged shutdown in Switzerland and abroad, triggering bankruptcies and job cuts. In this L-shaped scenario, there would only be a weak recovery with the economy forecast to grow by 3.4% in 2021.

In a second, v-shaped-scenario, the Swiss government reckoned with a contraction of 7.1% before a stronger bounceback come 2021.