Czech economy grows in second-quarter

Official data has shown that the Czech economy emerged from recession in the second quarter, growing by 0.3 percent. A strong influence has been the auto industry picking up, with increased sales in export markets. On a 12-month comparison, the Czech economy still plummeted by a record 4.9 percent. Analysts confirmed that the data had been expected, saying that the Czech economy had hit “rock bottom” in the first quarter and could now begin to bounce back. But others have cautioned against overly-optimistic scenarios. Just last week, the Czech central bank forecast a sharper full-year slump and slower recovery than expected previously. The bank now expects the economy to shrink 3.8 percent, compared to the earlier 2.4 percent predicted in May.