Czech Republic: Economic sentiment slips at the start of the year
January 24, 2018
The economic sentiment indicator, a composite confidence indicator published by the Czech Statistical Office (CSO), slipped slightly in January owing to a drop in business confidence. Economic sentiment decreased marginally to 99.5 points, down from 99.6 points in December.
The business confidence sub-indicator decreased from 97.5 points in December to 96.9 points in January. A worsening in sentiment in the industry and construction sectors offset improved sentiment in the trade and services sectors.
Consumer confidence, meanwhile, jumped from the prior month’s 110.0 points to 112.3 points in January. The result was mainly driven by a more optimistic view of the country’s economic situation in the next 12 months.
Czech Republic Private Consumption Forecast
FocusEconomics panelists expect private consumption to expand 3.5% in 2018, which is up 0.2 percentage points from last month’s projection. For 2019, the panel sees private consumption growing 2.7%. Panelists see fixed investment increasing 5.1% in 2018, which is up 0.2 percentage points from last month’s projection. For 2019, panelists expect fixed investment to expand 3.6%.
Author: Jan Lammersen, Economist