The revised estimate from the Czech Statistical Office confirmed that the Czech economy grew by 2.6 per cent year-on-year in the second quarter of this year.
This was the strongest growth since the second quarter of 2022. According to earlier data from the Czech Statistical Office (ČSÚ), the expansion was mainly supported by household consumption. Gross fixed capital investment and a lower year-on-year trade surplus, on the other hand, had a negative impact.
“In the second quarter, real labour income rose by 4.1 per cent year-on-year. The savings rate fell compared with last year, but it remains above the levels recorded in previous years,” explained Vladimír Kermiet, head of the National Accounts Department at the ČSÚ.
Analysts expect the economy to achieve growth of more than two per cent for the whole of this year, which would mark an acceleration compared with the one per cent recorded last year. The Ministry of Finance holds similar expectations, projecting 2.1 per cent GDP growth in its August forecast. The Czech National Bank is more optimistic, forecasting economic growth of 2.6 per cent.
For the year as a whole, analysts expect GDP growth of around two per cent, as they believe quarterly growth will slow in the second half. A key uncertainty this year remains the tariffs imposed by the United States, which are a negative factor for economic growth in Europe. European growth, however, could benefit from higher spending on defence and infrastructure.
On Tuesday, the Confederation of Industry and Transport of the Czech Republic (Svaz průmyslu a dopravy) also released an updated forecast for real GDP growth. According to its outlook, the Czech economy is expected to grow by around 2.1 per cent in real terms this year, with similar growth projected for 2026.
