Our comprehensive assessment of Switzerland's operating environment and the outlook for its leading sectors are formed by bringing together a wealth of data on global markets that affect Switzerland, as well as the latest industry developments that could impact Switzerland's industries. This unique integrated approach has given us an impeccable track-record for predicting important shifts in the markets, ensuring you’re aware of the latest market opportunities and risks in Switzerland before your competitors.
Switzerland Country Risk
Steady Growth Ahead
Switzerland's growth trajectory over the medium term will be increasingly powered by consumer spending.
The government's robust fiscal position implies it will be able to step in and boost growth in the event that any external shock puts a sharp break on Swiss growth.
Although the Swiss National Bank's removed its CHF1.20/EUR floor on January 15, it will continue to intervene in FX markets in order to prevent excessive franc appreciation. Beyond the next several quarters, the franc will begin to gradually depreciate from overvalued levels.
A narrowing of Switzerland's large current account surplus will gather steam in 2015 on the back of a stronger franc, but the surplus will remain sizeable over...
Switzerland Industry Coverage (5)
BMI View: Switzerland's insurance sector has many strengths and is profitable. High penetration means that the market is mature; and as a result, premiums are set to stagnate in USD terms, both through the forecast period and beyond.
In terms of demand, reasons for the over-development of the sector include extremely high per capita incomes and ability to save, and a formidable internationally-oriented corporate sector. The life insurers collaborate with (and to a certain extent compete with) the private banks and universal banks and play a central role in Switzerland's organised savings landscape. The business opportunity for the insurers is boosted by the substantially compulsory nature of health insurance. Health insurance is the largest sub-sector within the non-life segment, and accounts for over one third of premiums written in the segment (and slightly less than one tenth...
Switzerland Medical Devices
BMI Industry View: The Swiss medical device market is expected to grow by a CAGR of 1.4% over the 2013-2018 period, with other medical devices and orthopaedics & prosthetics expected to have the highest growth during this period. Over the last 15 years the Swiss medical technology sector has grown faster than almost any other sector in the country. Government technology development programmes, favourable tax rates, quality staff and research have all contributed.
Headline Industry Forecasts
In 2013, the Swiss medical device market was estimated at USD3,554.1mn, or USD440 per capita. The total market is twice the size of Denmark;...
Pharmaceuticals & Healthcare
Switzerland Pharmaceuticals & Healthcare
BMI View: Switzerland's epidemiological profile will continue to be attractive to manufacturers of medicines for non-communicable diseases. Despite the relative rapid uptake of innovative pharmaceuticals, the burden of chronic conditions will account for a large proportion of the total disease burden over the next 15 years. Like many other developed states, Switzerland is introducing cost-containment measures to restrict the commercial opportunities presented to drugmakers.
Headline Expenditure Projections
Pharmaceuticals: CHF7.02bn (USD7.34bn) in 2014 to CHF6.96bn (USD7.16bn) in 2015; -0.81% in local currency terms and -2.4% in US dollar terms.
Healthcare: CHF69.64bn (USD72.81bn) in 2014 to CHF71.37bn (USD73.41bn) in 2015; +2.5% growth in local...
BMI View: The maturity of the Swiss telecoms market means there are severely diminished opportunities for subscription growth; however, the country's high per capita incomes and strong demand for the latest technologies means it continues to be one of the most lucrative markets in Europe. The lucrative nature of the market is reflected in the large investments made by operators in infrastructure, with the incumbent Swisscom investing aggressively in fibre and LTE s...