The Czech Banking Association has raised its 2025 GDP forecast to 2.1 %, citing stronger exports and resilient fundamentals. US tariffs are still expected to weigh on growth, but less than previously feared. Inflation should reach 2.5 % this year before easing, while the central bank is seen cutting rates to 3.25 % in early 2026. The budget deficit will stay just above 2 % of GDP.

Source: Prague Daily News, Radio Prague International, Radio Prague International

CzechTrade Serbia