EC lowers Czech economic growth estimate for 2021 to 3 percent

The Czech economy will grow in 2021 after last year’s record slump due to the Covid-19 pandemic, but the pace of recovery will be slower than expected, the European Commission says in its latest economic forecast.

According to the EU executive arm, Czech GDP should increase 3 percent this year, just shy of a percentage point less than it forecast this summer. In 2022, the European Commission now expects the Czech economy to grow 4.4 percent, a tenth of a percentage point lower than in its last outlook.

The Czech Banking Association expects national GDP growth of 2.6 percent this year and 3.9 percent next year. In its August forecast, the association anticipated growth of 3.4 percent in 2021 and 4.5 percent next year.