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Austrian economy may contract in Q3, grow in 2012-cenbank

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VIENNA, Oct 12 (Reuters) - Austria's export-dependenteconomy may contract in the third quarter and stagnate in thefourth but is still expected to avoid slipping into recession,the central bank said, sticking to its forecast for 0.8 percentgrowth in 2012.

The Austrian National Bank said its latest business cycleindicator suggested third-quuarter gross domestic product woulddip a real 0.1 percent versus the second three months and thenhold steady in the final quarter of the year.

"Growth of around 3/4 percent for 2012 overall arises fromthe strong economic dynamism at the start of the year," it saidin a statement on Friday, adding private consumption was helpingoffset export and industrial weakness.

The economy grew 2.7 percent in 2011 and 2.2 percent in2010, it said.

(Reporting by Michael Shields. Editing by Jeremy Gaunt.)

((Michael.Shields@thomsonreuters.com)(+43 1 531 12 258)(ReutersMessaging: michael.shields.thomsonreuters.com@reuters.net))

Keywords: AUSTRIA ECONOMY/