Relatively Balanced Regional Economic Situation in 2005

The economic situation in 2005 lost some of its momentum in the first half of the year, but in the second half the Austrian economy saw dynamic development. The gross value added (without agriculture and forestry) rose slightly more than 2 percent in 2005. The weakening of export growth decreased the influence of the manufacturing sector on the regional economic trend pattern. This led to a relatively balanced economic situation with little difference in growth rates between the Laender and the large regions of west, south and east Austria. A small lead was achieved in the south region, which can be explained by developments in Styria. The west region reflected economic growth corresponding to the Austrian average, but the Laender displayed larger deviations. The west region includes Vorarlberg, which had the most expansive growth (+2.7 percent), as well as Salzburg, which grew weakest (+1.9 percent). Negligible under-average and quite balanced economic growth was realised in the eastern region. The domestic gross value added grew in Lower Austria and Vienna by about 2.0 percent and in Burgenland by about 2.1 percent.Regionalwirtschaft Bundesländer 2005