Finance Ministry revises economic outlook downwards

The Finance Ministry, in a new macroeconomic forecast, has revised the country’s economic outlook downward, expecting stagnation in 2013 and 1.2 percent growth in 2014. By comparison, in January the ministry predicted 0.1 percent expansion for this year and rise of 1.4 percent for the next. The outlook may further worsen, said the ministry´s spokesman Ondřej Jakob. Factors include developments in the euro zone as a majority of Czech products are exported to euro zone countries. The Finance Ministry expects the euro zone economy to contract by 0.3 percent this year. The moderate worsening of the estimated economic development this year reflects unfavourable data from the first quarter, analysts confirmed.