Market Report, "Belgium Country Risk Report Q3 2016", published

Belgian economic growth will be steady, if unspectacular, in the years ahead.

Although the country's economy will be primary driven by private consumption, the short-term impact of labour market reforms will drag on growth.

Over the longer-term, these reforms are necessary to improve labour market competitiveness and boost economic growth.

The Belgian government will struggle to develop adequate responses to elevated security threats, rising Flemish nationalism, and the threat of another economic downturn given the country's dire fiscal dynamics.

Major Forecast Changes

We have revised down our real GDP forecasts to 1.4% in both 2016 and 2017, from forecasts of 1.6% for both years previously. This downgrade was mainly due to the impacts of increased security measures and a slight softening of EU demand.

Key Risks

A terrorist attack in Belgium would heighten security threats further, and could dent growth by hurting the tourism sector and consumer confidence.

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Assess your risk exposure in Belgium with our 100% independent forecasts assessing the pace and stability of this key market. Backed by trusted data from BMI Research's 52 million data point economic forecast model, this report will allow you to measure political, economic, business environment and operational risks in Belgium with confidence.

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