Economic Situation Q1, 2004 – Good start in the new financial year
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General economic situation
In the second half of 2003, the world economy expanded strongly. This development continued at the beginning of 2004. For the second half of the year, economists expect a slowdown in production growth and a reduction in the cyclical gap between industrialised countries.
Development in the regions
In the first quarter of 2004, economic growth was again strongest in the US and Asia. Economic activity in Europe was set to recover in the spring of 2004. The national economies in the Eurozone overcame stagnation. Their exports grew substantially as a result of economic growth in the rest of the world. However, economic recovery was still restrained. This was primarily due to private consumption, which has only gradually gained momentum.
Development of the divisions
Following a number of difficult years, tourism started to improve considerably, a trend supported by positive economic signals. However, regional differences persisted, with Germany recovering more slowly than the UK, the second largest market. Another development supporting confidence was the recovery of the Scandinavian market, which had been adversely affected in the past.
In the logistics division, last year's positive trend continued. Shipping recorded persistently high transport volumes and freight rates. This development was primarily supported by the brisk growth of the Asian economies and the US.