Czech industry showed a very good growth dynamics

The last quarter of 2013 GDP increase is a positive surprise in terms of its size, the Confederation of Industry analyst Bohuslav Čížek commented on the new data. The signals sent by the Czech economy, the industrial production results, PMI manufacturing index and improving entrepreneurial mood in the last months indicated that the Czech GDP growth should rise moderately.

In the last three months of 2013, the Czech economy grew faster than the original estimate predicted. The GDP increased by 1.9 percent against the previous quarter and by 1.3 percent year on year. The information was published by the Czech Statistical Office on Thursday 6th March 2014.

The results were influenced by advance buying of tobacco products as consequence of the excise duty increase introduced on 1st January 2014. The year to year results were also affected by a relatively bad last quarter of 2012, by a certain economic recovery in the euro area and by an improving condition of the Czech industry.

On the other side, the starting base for the economic growth is still weak and there’s no indication that the investment activity is stabilized and that it would rise soon.

Nevertheless, the Czech industry and foreign contracts showed a very good dynamics at the end of the last year. In the last quarter of 2013, the gross added value of the industry as a key sector of the Czech economy rose 2,9 percent year to year. Only the financial and insurance sectors achieved better results than the industry.

Radim Klekner
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section Aktuálně
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