Finance Ministry revises upwards 2021, 2022 growth forecasts

The Ministry of Finance has revised upwards its growth forecast for the Czech economy for 2021 and 2022. In a new estimate published on Tuesday, rates of 3.2 percent and 4.2 percent respectively. That is 0.1 percentage points more than projected for 2021 back April, and 0.5 pp more for 2022.

All the components of domestic demand, including in particular investment and household consumption, will help stimulate this growth. In addition, according to the ministry, the state budget deficit, revised upwards to 500 billion crowns last February, should amount to 7.7 percent of GDP, or 1.1 pp less than announced in the spring.