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Country snapshots 2017-18: Belgium
belgium,oecd,economy

Economic growth is projected to rise only slightly over the next two years. Sluggish real wage growth will hold back private consumption, although lower taxation of labour will support employment. Investment is moderate, despite high profit margins and favourable financial conditions. Consumer price inflation is projected to be stable at under 2%.

Productivity growth has been lower than in most other OECD countries in recent years. It would be boosted by structural reforms that remove barriers to entrepreneurship, strengthen innovation, reduce skill mismatches and foster labour mobility. Improving educational outcomes and labour force participation of vulnerable groups, including first and second-generation immigrants, would raise productivity and enhance inclusive growth. House prices and household mortgage debt have increased in recent years, although prudential measures and improvements in bank balance sheets have mitigated the associated risks to the real economy.  

GDP growth

2013

Current prices EUR billion

2016

  

2017

% real change

2018

  

391.7 1.2 1.3 1.5

Visit www.oecd.org/eco/economicoutlook.htm

©OECD Observer No 308 Q4 2016