CBI: growth forecast

CBI: growth forecast

  • CBI expects GDP growth in 2012 will be 0.6%, slightly down from its forecast in February of 0.9%.
  • CBI forecasts GDP growth to be 2.0% in 2013.
  • Quarter-on-quarter growth is expected to be flat in the second quarter of 2012 (0%) with improvement in the second half of the year (0.7%, 0.5%)
  • Household spending will remain subdued, with weak wage growth and unemployment rising to a peak of 2.86 million in the first quarter of 2013
  • Modest rise in business investment, growing at around 4% in 2012 and 5% next year.
  • Exports are forecast to see a small rise this year (1.5%) and expected to increase by around 6% in 2013