czech republic

In the Czech Republic, GDP growth is projected at 1.9% in 2022 - however, it is projected to contract slightly to 1.5% in 2023, and recover in 2024 to 3.9%. Escalating energy and essential commodity prices, as well as disruptions in the supply of gas and oil imported from Russia, have led to sharp increases in the cost of living and a risk of energy shortages. A slowdown in global growth, persistent constraints in global supply chains and tight financing conditions will put the brakes on activity in 2023.

Contrary to expectations, inflation reached 16.3% in 2022, and for the coming years is forecast to decline to 8.6% in 2023 and 2.5% in 2024 - however, it will remain above the 2.0% target.

Despite the decrease in real wages, unemployment levels will remain below 3.0%.

Source OECD: economic report November 2022