Austrian think tanks trim economic growth forecasts for 2016

People walk in the park in front of imperial Schoenbrunn palace in Vienna

VIENNA (Reuters) – Austria’s two main economic think tanks on Friday lowered their growth forecasts for this year, citing weaker-than-expected industrial production and greater uncertainty from developments such as Britain’s vote to leave the European Union.

The WIFO think tank, which compiles gross domestic product (GDP) data for the Austrian government, lowered its GDP growth forecast for 2016 to 1.5 percent from 1.7 percent predicted in its previous quarterly forecast issued in September.

Another think tank, IHS, trimmed its forecast for this year to 1.4 percent from 1.5 percent. For 2017, IHS forecast growth of 1.4 percent and WIFO predicted a GDP increase of 1.5 percent, roughly in line with the Austrian central bank’s 1.5 percent estimate.

(Reporting by Francois Murphy; Editing by Maria Sheahan)