Retail sales decline for third straight month

According to new data published by the Czech Statistics Office (CSU), retails sales in May fell by 2.1% year-on-year, compared to a 4.2% fall in April. Initial forecasts had been for a 3.5% fall; however, the data also represents the third straight month of decreasing sales in the country amidst concerns that government austerity measures are leading to reduced demand and falls in household spending. Last week, the Czech National Bank cut benchmark interest rates by a quarter of a percentage point to 0.5% in a bid to boost the economy.

Author: Dominik Jůn