In the third quarter, gross domestic product (GDP) expanded 2.8% over the same period last year, according to revised data published on 9 December. The revised reading was below the 3.0% expansion reported in the initial November estimate. The third quarter increase was up from a 2.3% expansion tallied in the second quarter and marked the fastest growth pace in more than two years. In addition, the third quarter figure overshot the Central Bank's estimate, which had the economy growing 2.7%. A quarter-on-quarter analysis corroborates the strong growth suggested by the annual figures, as GDP increased a seasonally adjusted 1.0% in the third quarter. The acceleration over the second quarter was entirely driven by an improvement in domestic demand, while the net contribution from the external sector deteriorated. Private consumption expanded 1.2% year-on-year, well above the 0.7% increase observed in the second quarter, while government consumption contracted 0.5% (Q2: +1.2% yoy). Fixed investment bounced back in the third quarter and accelerated at the fastest pace since the fourth quarter 2008, growing 1.7% year-on-year (Q2: -3.7% yoy). In addition, an upward shift in inventories boosted domestic demand in the third quarter. Moreover, both exports and imports accelerated over the second quarter, although the expansion in imports was more remarkable. Exports grew 14.1% over the same period last year (Q2: +13.7% yoy), while imports expanded 16.6% annually (Q2: +14.7% yoy). As a result, the net contribution from the external sector to overall growth declined from minus 0.7 percentage points in the second quarter to minus 2.3 percentage points in the third. At the sector level, the expansion in the third quarter was the result of faster growth in both the industrial and the services sectors. Agriculture, on the other hand, contracted sharply over the same period last year. The Central Bank estimates the economy to expand 1.6% this year. In 2011, monetary authorities anticipate the economy to accelerate to 1.8%.
Czech Republic GDP
Economy grows at fastest pace since 2008
December 9, 2010
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Czech Republic Economic News
October 24, 2016
The economic sentiment indicator published by the Czech Statistics Office (CSO) rose from September’s 97.1 points to 97.5 points in October, marking a nine-month high.
October 10, 2016
In September, consumer prices fell 0.2% from the previous month, matching August’s reading.
October 7, 2016
Industrial production grew 13.1% year-on-year in August, which sharply contrasted the 14.1% fall registered in July and was the best result since May 2011.
October 3, 2016
The manufacturing Purchasing Managers’ Index (PMI) produced by IHS Markit rose from August’s 50.1 to a four-month high of 52.0 in September.
September 29, 2016
At its meeting on 29 September, the Czech National Bank (CNB) decided to leave the two-week repo rate unchanged at its so-called “technical zero” of 0.05%.