The Czech economy performed better than expected in the last quarter, according to data published today by the Czech Statistical Office (CZSO). Credit: Freepik
Czech Republic, Feb 1 (BD) – Quarter-on-quarter growth in the last quarter of 2021 reached 0.9%, while year-on-year growth was at 3.6% in Q4 2021. Despite this economic growth, the economy has not yet reached the levels from the pre-crisis year of 2019. Growth has been driven solely by domestic demand, according to the CZSO data.
“If the positive economic fundamentals do not come to stall again, and the high level of inventories is transformed into investments and exports, this year’s growth could also exceed current estimates and approach 4%,” said the head of Czech Fiscal Council, Eva Zamrazilova, this morning.
“Consumption clearly remains strong, despite rising inflation, which will be the issue of this year,” she added.
Zamrazilova also commented on the stark budget policy intentions of the new government. “The expected tightening of economic policy is therefore coming at the right time and should not significantly damage the economy.”
