Swedbank Raises Estonia GDP

Swedbank on Tuesday raised Estonia’s 2017 real growth forecast by 1.3 to 3.5%, and next year’s forecast by 0.4 to 3.2% in its latest economic outlook, err.ee reported. In April the bank estimated that Estonia’s gross domestic product growth would total 2.2% this year, and 2.8% in 2018. The revised forecast published is a lot more optimistic, though the number for 2019 is lower again at 2.7%. Foreign demand was expected to remain robust in the next two years. In addition to the positive impact on exports, this increased the need for business sector investments, as capacity utilization in the industry had already risen above its long-term average, the bank said.