Analysts: Czech economy to slow down, growth to reach 3.8 %

29. 6. 2018

Czech economy has been slowing down cyclically, as it exhausts itself from its current disposable capacity.

(ČIA) Czech economy has been slowing down cyclically, as it exhausts itself from its current disposable capacity. This is a return to more long-term maintainable levels. This is according to the analyst Petr Dufek from ČSOB, who added that with regard to this, public investments may function as a positive impulse, which would slow down the slump. Chief economist Štěpán Křeček from BH Securities said that the growing household income does not prevent high profitability of companies, and they are therefore maintainable in the current stage of the economic cycle. Chief economist Viktor Zeisel from Komerční banka added that the home factors will probably continue to have a positive effect. Foreign demand, on the contrary, will grow more slowly and foreign trade will also contribute negatively. He expects economic growth to reach 3.8 % in the year 2018.