Belgium Economic Outlook
Key European trade and logistics hub:
Belgium has a highly developed, trade-dependent economy, with exports accounting for over 80% of GDP. The country benefits from its strategic location, world-class ports—such as Antwerp, one of Europe's busiest—and a well-integrated logistics network. Key export industries include chemicals, pharmaceuticals, machinery, and processed food products.
Service-driven economy:Belgium has a strong services sector, particularly in finance, business services, and public administration. Brussels serves as the headquarters of the European Union and NATO, making Belgium an important center for international governance and diplomacy. The financial services sector is well-developed, but the country faces challenges related to tax competitiveness and regulatory complexity.
Challenges and fiscal concerns:Belgium struggles with high public debt, which exceeds 100% of GDP, making fiscal sustainability a concern in the long run. Additionally, labor market rigidities and high taxation on wages have been persistent issues, potentially limiting investment and job creation. Political fragmentation, due to regional divides between Flanders and Wallonia, has also made economic policymaking more complex.
Belgium's economic outlook:While short-term growth prospects in Belgium remain moderate due to external demand fluctuations and inflationary pressures, Belgium is expected to benefit from continued trade integration within the EU and strong industrial sectors such as pharmaceuticals and chemicals. Addressing labor market inefficiencies and public debt will be key to ensuring long-term economic stability and growth.
Belgium's Macroeconomic Analysis:
Nominal GDP of USD 664 billion in 2024.
Nominal GDP of USD 665 billion in 2024.
Nominal GDP of USD 645 billion in 2023.
GDP per capita of USD 54,903 compared to the global average of USD 10,589.
GDP per capita of USD 56,343 compared to the global average of USD 10,589.
GDP per capita of USD 56,206 compared to the global average of USD 10,589.
Average real GDP growth of 1.6% over the last decade.
Average real GDP growth of 1.6% over the last decade.
Average real GDP growth of 1.6% over the last decade.
Sector Analysis
In 2022, services accounted for 70.7% of overall GDP, manufacturing 11.9%, other industrial activity 16.6%, and agriculture 0.8%. Looking at GDP by expenditure, private consumption accounted for 51.4% of GDP in 2023, government consumption 24.2%, fixed investment 25.3%, and net exports -0.9%.International trade
In 2023, manufactured products made up 69.0% of total merchandise exports, mineral fuels 13.2%, food 11.9%, ores and metals 3.7% and agricultural raw materials 1.1%, with other categories accounting for 1.1% of the total. In the same period, manufactured products made up 68.0% of total merchandise imports, mineral fuels 17.1%, food 9.6%, ores and metals 4.2% and agricultural raw materials 0.9%, with other goods accounting for 0.2% of the total. Total exports were worth USD 551.40 billion in 2024, while total imports were USD 521.60 billion.Main Economic Indicators
Economic growthThe economy recorded average annual growth of 1.6% in the decade to 2024. To read more about GDP growth in Belgium, go to our dedicated page.
Fiscal policy
Belgium's fiscal deficit averaged 3.4% of GDP in the decade to 2023. Find out more on our dedicated page.
Unemployment
The unemployment rate averaged 6.6% in the decade to 2024. For more information on Belgium's unemployment click here.
Inflation
Inflation averaged 2.7% in the decade to 2024. Go to our Belgium inflation page for extra insight.
Monetary Policy
Euro Area monetary policy rate ended 2024 at 3.15%, up from 0.05% a decade earlier. See our Belgium monetary policy page for additional details.
Exchange Rate
From end-2014 to end-2024 the euro weakened by 20% vs the U.S. dollar. For more info on the euro, click here.
Economic situation in Belgium
A faster rise in fixed investment lifted sequential growth to its joint-highest reading in over two years in Q1. In Q2, our panel expects the economy to have nearly flatlined. Contractionary fiscal policy was likely a drag as the government continued to rein in spending under the EU Excessive Deficit Procedure; in June, Fitch Ratings cut Belgium’s rating by a notch to ‘A+’ due to its deteriorating fiscal position. Further, trade and investor sentiment likely took a hit from enacted and anticipated U.S. tariff hikes, as Belgium is one of the world’s most open economies. Goods exports fell sharply in April, reflecting the trade impact. Still, a faster rise in construction activity in the same month and ECB rate cuts likely provided some support to fixed investment. Moreover, wage indexation and lower inflation likely boosted private spending as retail sales rose from Q1’s average in April.Belgium Economic Forecasts
Projections out to 2034.36 indicators covered including both annual and quarterly frequencies.
Consensus Forecasts based on a panel of 21 expert analysts.
Want to get insight on the economic outlook for Belgium in the coming years? FocusEconomics collects projections out to 2034 on 36 economic indicators for Belgium from a panel of 21 analysts at the leading national, regional and global forecast institutions. These projections are then validated by our in-house team of economists and data analysts, and averaged to provide one Consensus Forecast you can rely on for each indicator. This means you avoid the risk of relying on out of date, biased or outlier forecasts. Our Consensus Forecasts can be visualized in whichever way best suits your needs, including via interactive online dashboards , direct data delivery and executive-style reports which combine analysts' projections with timely written analysis from our in-house team of economists on the latest developments in the Belgium economy. To download a sample report on the Belgium's economy, click here. To get in touch with our team for more information, fill in the form at the bottom of this page.