Today: August 28, 2015, 9:14 pm
  

Iceland economy set to reach pre-crisis levels by 2015 in terms of real GDP output

companiesandmarkets.com
companiesandmarkets.com
Iceland Business Forecast Report Q1 2014 - a new country guide report on companiesandmarkets.com

 

PR-Inside.com: 2014-03-17 07:07:02
The negative consequences of Iceland´s decision to end its EU membership talks have been extremely limited. The country remains a member of the European Economic Area, and already enjoys high levels of political stability. We see little prospect of a policy reversal by the government on accession, and expect the administration to build on existing global trade links. Ongoing development of economic relations with China could yet yield significant investments.

Real GDP growth will be slightly above the long-term trend at 2.5% over our 10-year forecast period. This rate of economic expansion will be amongst the fastest for any developed nation, but it will still take until 2015 for real GDP to reach pre-crisis levels.

The government´s planned US$1.25bn mortgage debt relief package will not be a panacea. The previous administration´s previous rounds of relief did not spark significant extra consumer spending or investment in housing. The new plans will help unwind asymmetries within the economy, but will need to be accompanied by new foreign direct investment.

We now expect trend growth to be 2.5% instead of the 2.6% forecast last quarter. This is primarily a result of a reduction in the early part of the forecast period, with economic expansion in 2014 now forecast to be 2.6% instead of 3.2%. This reflects the continued slow pace of investment spending growth in the economy.

Global economic conditions could deteriorate markedly, stifling Iceland´s export-driven recovery.

If the government decides to remove the country´s capital controls too soon it could result in a disorderly depreciation of the krona..

Click for report details: www.companiesandmarkets.com/Market/All-Sectors/Country-Guide/Ice ..

Browse all All Sectors Country Guide Reports www.companiesandmarkets.com/Market/All-Sectors/Country-Guide?aCo ..

Browse all All Sectors Company Profile Reports www.companiesandmarkets.com/Market/All-Sectors/Company-Profile?a ..

Browse all Latest Country Guide Reports www.companiesandmarkets.com/Market/All/Country-Guide?aCode=f3fb3 ..

About Us
Companiesandmarkets.com is a leading online business information aggregator with over 300,000 market reports and company profiles available to our clients. Our extensive range of reports are sourced from the leading publishers of business information and provide clients with the widest range of information available. In terms of company profiles, Companiesandmarkets.com’s online database allows clients access to market and corporate information to over 100,000 different companies. We provide clients with a fully indexed database of information where clients can find specific market reports on their niche industry sectors of interest.


Press Information


Published by
Mike King
London: +44 (0) 203 086 8600
e-mail
www.companiesandmarkets.com
Related Articles

Disclaimer: If you have any questions regarding information in this press release please contact the company added in the press release. Please do not contact pr-inside. We will not be able to assist you. PR-inside disclaims the content included in this release.