No. 175, July

Although the much-feared energy crisis has failed to materialise, persistently high inflation, rising interest rates and geopolitical conflicts are weighing on the global economy.

An estimated 33,000 people die in the European Union every year as a result of being infected with antibiotic-resistant germs. The number of deaths associated with antimicrobial resistance worldwide is estimated to be more than 5 million per year. New antibiotics urgently need to be developed, but this is often not profitable for companies. This article discusses a dynamic funding model that would make it more attractive for firms to develop new antibiotics.

A significant increase in company bankruptcies has been evident in Switzerland since autumn 2022, while business start-ups have been declining sharply for several months. The following article examines this trend in detail and gives possible reasons for this increase.

Although many Swiss firms see their business activities as being exposed to physical climate risks, they nevertheless view ecological change predominantly as an opportunity rather than a risk. Investment aimed at combatting climate change is accelerating and, in comparison with the EU, Switzerland is one of its pioneers. Having added a new block of questions to its investment survey, KOF can shed light on the economic impact of climate change from the perspective of Swiss companies.  

The KOF Business Situation Indicator for the Swiss private sector rose slightly in June, averting a third consecutive decline (see chart G 16). However, this modest improvement does not yet indicate that the Swiss economy has received a significant boost. Business expectations about developments in the near future emphasised this view; they hardly changed compared with the previous month and were average overall.