Consumer prices increased 0.5% in July 2019 mainly due to an almost 25% increase in the price of holidays. In reaction to the data published by the Czech Statistical Office, this statement was made by ČSOB analyst Petr Dufek who added that it was quite improbable for inflation to return to the 2% target any time soon. Komerční Banka economist Michal Brožka believes that demand pressures should be milder in 2020, but inflation will still remain close to its current levels due to the planned increase in excise duties. The Czech National Bank stated that for the coming months, the published data constituted a slight pro-inflation risk in its current forecast according to which inflation in the second half of 2019 would remain at an increased level in the upper half of the tolerance zone.
Source: CIA News
Provided by team CzechTrade Seoul