VIENNA, Aug. 29 (Xinhua) -- The National Bank of Austria (OeNB) has lowered its GDP growth forecast for the national economy for 2014 by 0.7 percent to 0.9 percent, it revealed in a press release Friday.
OeNB Governor Ewald Nowotny said the considerable downward revision to the 1.6 percent June forecast comes on the back of weak stimulus for domestic demand, low growth in exports to major trading partner Germany, and no increase in investments.
The tax revenue for the year however is "quite strong," said Nowotny.
Despite the weak economy, the OeNB said it expects "little additional need for consolidation" for the national budget.
The GDP growth forecast, if accurate, would be an improvement over the years 2012 and 2013 that saw 0.7 percent and 0.3 percent GDP growth respectively, though considerably lower than the 2.9 percent growth the national economy experienced in 2011.