Flemish economy expected to grow by 2.8 percent this year

The Flemish economy is expected to grow by 2.8 percent this year, according to Statistics Flanders. A slowdown to 1.3 percent growth in the Belgian region is expected for next year, as a result of the war in Ukraine and inflation negatively affecting private consumption and exports.

With 2.8 percent, the economy in Flanders would grow stronger than the economies of Brussels (+2.1 percent) and Wallonia (+2.5 percent), according to Statistics Flanders' forecast. The Flemish figure is on par with the European average (+2.7 percent).

Economic growth is strongest in the transport and communication sectors, health care and social services, business services and the production of equipment, Statistics Flanders states on its website. Private consumption is still benefiting from the upturn that started in 2021. Further recovery is hampered by the war in Ukraine and inflation.

The Flemish economy grew by 7 percent in 2021, after the sharp downturn the previous year due to Covid-19 (-5.5 percent). Between 2014 and 2019, growth hovered around 2 percent or just above in the Belgian region. In recent years, growth has been influenced mainly by the real increase in labour productivity. Up to 2019, the evolution of employment played a bigger role. 

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Containership MSC Beatrice enters the port of Antwerp, Belgium © BELGA PHOTO DIRK WAEM