Vienna defies the crisis: Economic engine remains stable and strong!

Vienna defies the crisis: Economic engine remains stable and strong!

Despite global crises and economic imponderables, Vienna remains the undisputed economic engine in Austria. The current numbers of the WIFO show that almost all federal states with significant declines are struggling in real gross value added, while Vienna triumphs with a slight plus of 0.3 percent. Mayor Michael Ludwig (SPÖ) emphasizes that Vienna not only convinces through numbers, but also by tangible success. "Vienna is the country's economic engine-and not only figures, but also the daily successes," says Ludwig.

The sectors in Vienna, especially the service sector, which are affected by the pandeme -related economic crisis, are gradually experiencing a recovery. In 2020, the Covid 19 pandemic led to a decline in gross value added by 5.6 percent, while the 2021 recovery forecast growth of 3.6 percent. Although the service sector, including tourism and culture, was severely affected, the first signs of a stable return of demand are shown. According to the WiFo analysis, employment in Vienna will increase noticeably again with an increase of 2.0 percent, which should smooth the waves on the labor market. According to wifo