According to the Czech Statistical Office, this growth was supported exclusively by domestic demand, particularly household final consumption expenditure. On a quarterly basis, the economy grew by 0.5%, aligning with analysts' expectations.

Despite this positive momentum, the Czech Ministry of Finance has revised its 2025 GDP growth forecast down to 2.0% from the previous projection of 2.3%, citing challenges such as U.S. tariffs and global trade uncertainties. For UK businesses, this steady economic growth in the Czech Republic presents opportunities for increased trade and investment, particularly in sectors driven by domestic consumption. However, the revised growth forecast underscores the importance of monitoring global trade dynamics that could impact future economic performance.

Source: Czech Statistical Office 

Prepared by the Czech Trade United Kingdom & Ireland office.