Analysts: Industrial growth will slow to 1.2 %, GDP to 2.1 %

2. 5. 2019

The April decline in the purchasing managers index was primarily owed to an anticipation of a marked reduction in employment.

(ČIA) The April decline in the purchasing managers index was primarily owed to an anticipation of a marked reduction in employment. This was stated in reaction to IHS Markit data by UniCredit Bank Czech Republic and Slovakia chief economist Pavel Sobíšek. He added that given the importance of industry for the entire Czech economy, he expects the GDP dynamic to slow to 2.1 % in 2019. Komerční banka economist Monika Junicke predicts average industrial growth of 1.2 %. The slowdown will be partially owed to weaker demand for automobiles and lower investments. CZECH FUND chief economist Lukáš Kovanda stated that the slowdown of the Chinese and German economies, the loss of growth dynamic in the euro area, the threat of a hard Brexit and concerns about a further escalation of trade wars are being manifested.