Skyline of Prague, Czech Republic

Czech Republic GDP Q3 2019

Czech Republic: Growth wanes to one-year low in Q3

The economy grew 2.5% in year-on-year, seasonally- and price-adjusted terms in the third quarter, below the 2.8% upturn logged in the second quarter, according to a preliminary release by the Czech Statistical Office (CSO) on 14 November. The pace of expansion slightly undershot market expectations and was the lowest in a year.

Both domestic and external demand contributed to the outturn. Although a detailed breakdown is yet to be released, private consumption, which has been supported by the tight job market and solid real wage gains, likely remained the engine of growth, while net trade fared well despite the subdued external environment. On the supply side, solid activity in the trade, hospitality, transportation and storage, and information and communication industries underpinned the expansion.

On a quarter-on-quarter basis, GDP growth came in at 0.3% in Q3, well below Q2’s 0.7% climb.

Commenting on the economy’s outlook for next year, Jakub Seidler, chief economist at ING Czech Republic, noted:

“Some positive news is that the German economy avoided a technical recession in the third quarter, with modest QoQ growth of 0.1%, while the market expected a slightly negative figure. But developments abroad remain fragile and it will be crucial for the growth of the domestic economy next year. Right now, we expect the domestic economy to slow further to 2% in 2020”.

More detailed national accounts data will be released on 29 November.

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest