Czech economy in recession

The Czech economy remains in recession, after contracting for three consecutive quarters. The GDP fell by 0.2 percent in the second quarter, according to data released by the Czech Statistical Office on Tuesday. Economic performance is 1.2 percent lower in annual terms. According to analysts the recession has deepened year on year mainly due to a slowdown in industrial production, which was the main driver of growth previously. The government’s austerity measures have reduced domestic demand and the euro debt crisis has weakened exports.