FinMin: GDP will increase by 3.1 % and unemployment to 3.3 %

(ČIA) The economy of the Czech Republic is significantly affected by the pandemic. This was stated by the Ministry of Finance of the Czech Republic as part of its new macroeconomic prediction, adding that measures adopted to limit the spread of infection have caused an economic decline estimated for 2020 at 6.1 %. Thanks to the expected improvement in the situation in connection with vaccination and expected renewed growth abroad, the Czech economy should gradually start to recover from 2Q 2021 onwards. Growth could reach 3.1 % in 2021. Inflation should slow to 1.9 %. The unemployment rate will rise to 3.3 % in 2021. The ongoing epidemic and stimulus measures will increase the deficit to 6.6 % of GDP in 2021, deepening the debt level to 43.3 % of GDP. Even so, according to the Ministry of Finance, the Czech Republic will be among the countries with the lowest debt in Europe.



Register newsletter

Get to know about Nordic Chamber, our press releases and all news, straight to your inbox.