Belgium Business Forecast Report Q2 2014

Business Monitor International
January 28, 2014
25 Pages - SKU: BMI5196236
Countries covered: Belgium

Belgium Business Forecast Report Q2 2014

Core Views

Despite enjoying a relatively stronger recovery than several othereurozone member states, the Belgian economy is nonethelessvulnerable to the lingering crisis in the single-currency area.

A particular concern is the national debt which, at close to 100% ofGDP, leaves Belgium exposed to a deterioration in risk sentimentand slowdown in economic growth.

Although the formation of a new government ended 18 months ofpolitical paralysis, the six-party coalition could yet struggle to overcomeideological differences in order to tackle much-needed fiscaland economic reforms.

Major Forecast ChangesWe have revised down our 2015 real GDP growth forecast to 1.6%from 1.9% previously.

Key Risks To Outlook

There are significant downside risks to our economic growth forecasts,particularly those stemming from the impact of fiscal consolidationand the eurozone sovereign debt crisis.

The upcoming federal election could usher in another bout of uncertaintyshould government formation prove protracted.



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