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UPDATE 1-Swiss economy to grow around 1 pct 2010 -SNB report

Published 03/10/2010, 07:30 AM
Updated 03/10/2010, 07:32 AM

* SNB report expects growth of 1 percent in 2010

* Swiss economists revise consensus forecast up to 1.2 pct

* Swiss economists see jobless rate hitting 4.6 pct in 2010

(Adds details from KOF)

By Sven Egenter and Catherine Bosley

ZURICH, March 10 (Reuters) - The Swiss economy is set to grow by around 1 percent in 2010, the central bank said in a report published on Wednesday, indicating it may revise up its GDP outlook at Thursday's policy review. A quarterly survey by the KOF economic institute seconded the Swiss National Bank's view, with economists revising up their forecast for the year to 1.2 percent from 0.8 percent.

"In 2010, a further recovery in economic activity can be expected," the Swiss National Bank said in its report to Swiss parliament about its policy in 2009. "The SNB anticipates GDP growth of around 1.0 percent."

The SNB's report was finalised in February. Most economists expect the central bank to raise its growth forecast - currently for 0.5 to 1.0 percent growth -- on Thursday after a slew of upbeat economic news.

SNB vice-chairman Thomas Jordan has already said in a newspaper interview in mid-February that the economy may grow around 1 percent.

The KOF expects growth of 1.6 percent in 2011. They see inflation hitting 0.8 percent this year, just above the SNB's current forecast of 0.5 percent.

The 22 economists surveyed by the KOF cut their outlook for the jobless rate, saying it would hit 4.6 percent after previously forecasting a rate of 4.8 percent.

(Editing by Patrick Graham)

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