IMF sees bigger contraction this year but higher growth in 2010

The International Monetary Fund has worsened its forecast for Czech economic contraction this year but increased its growth prediction for 2010. The IMF now expects that the economy will shrink this year by 4.3 percent instead of its previous prediction of 3.5 percent. But it sees 2010 growth at 1.3 percent instead of just 0.1 percent. The IMF predicts continuing low Czech inflation with this year’s 1.0 percent rise followed by a 1.1 percent rate in 2010.