A recent WIFO study commissioned by the Federal Ministry of Social Affairs, Health, Care and Consumer Protection (BMSGPK) shows the impact of the last social safety net in Austria up to and including 2021.

The weakness of global industrial activity is slowing economic development in the euro area. Austrian GDP declined by 0.6 percent in the third quarter and household consumption fell significantly. According to the WIFO-Konjunkturtest (business cycle survey), companies' economic assessments remained predominantly sceptical. Inflation slowed to 5.4 percent in October, while the unemployment rate stood at 6.3 percent.

According to the latest WIFO flash estimate, Austria's economic output fell by 0.6 percent in real terms in the third quarter of 2023 compared to the previous quarter. The decline in the industrial and construction sectors became more pronounced. The restrained consumer demand of private households also again burdened the total economy. Value added in the service sectors developed unevenly.