Czech Republic: Industrial output growth accelerates in March
May 7, 2014
In March, industrial production expanded 8.7% over the same month last year. The reading came in above the 6.7% expansion observed in February and overshot the 8.0% increase the market had expected. March's faster-than-expected increase reflected a notable expansion in manufacturing production and an improvement in mining and quarrying.
A month-on-month comparison, however, does not corroborate the acceleration suggested by the annual data. Industrial production rose 0.3% over the previous month in seasonally-adjusted terms, which came in below the 1.7% expansion tallied in February. As a result of the faster annual reading, the trend continues to suggest that a recovery in the industrial sector is on its way: annual average growth in industrial output rose from 2.5% in February to 3.7% in March.
FocusEconomics Consensus Forecast panelists expect industrial output to expand 4.1% in 2014, which is down 0.1 percentage points from last month's forecast. For 2015, panelists expect industrial output to expand 4.5%.
Author: Ricardo Aceves, Senior Economist