Czech economic growth forecast lowered amid global trade tensions

The International Monetary Fund expects the Czech economy to grow by 1.6% this year, up from last year’s 1.1% but significantly below the 2.4% forecast issued in November. Next year, growth is projected at 1.8%. The Czech Finance Ministry recently lowered its own outlook to 2%, citing the impact of U.S. tariffs on cars, steel, and aluminum. Finance Minister Zbyněk Stanjura noted that the current forecast includes 10% general tariffs but not a proposed 20% duty on EU goods, which has been delayed. Despite the revision, the Czech Republic is set to outperform Hungary and Slovakia within the Visegrád Group.