Czech economy accelerates in third quarter

The Czech economy grew by 5.0 percent year-on-year in the third quarter, the fastest pace in two years as growth picks up speed due to strengthening industry, increasing household demand and rising investments. Preliminary data also showed on Tuesday that gross domestic product expanded by 0.5 percent in the quarter versus the previous three months, faster than expected. Analysts in Reuters poll had expected growth of 0.3 percent quarter-on-quarter and 4.8 percent growth year-on-year. The statistics office did not give a detailed breakdown but said all economic components contributed to growth equally.

“Domestic demand grew owing to steadily increasing consumption of households and continuing growth of investment expenditure,” it said. “Most of economic activities of the national economy were successful, especially industry, but also economic activities of services.” The statistics office will publish detailed third-quarter figures on Dec. 1.

GROSS DOMESTIC PRODUCT Q3/17 Q2/17 Fcast Q3/17 (pct change) quarter/quarter 0.5 2.5 0.3 year/year 5.0 4.7 4.8
Source: Reuters (Reporting by Mirka Krufova; Writing by Jason Hovet)