Czech Economy Likely Suffered Historic Plunge In Q2

The Czech economy likely saw its sharpest decline in the second quarter due to COVID-19. Economists forecast the GDP to fall from 9.7 to 18 percent and a quarter-on-quarter drop of 7.4 to 14 percent. The good news, according to analysts, is that the economy is beginning to recover.

The Czech Statistical Office will publish a preliminary estimate of GDP for the second quarter of 2020 on Friday 31 July. The CZSO will publish the data for the first time according to the new scheme, i.e., 14 days earlier.

Industry, trade, transport, hospitality, and accommodation contributed significantly to the decline in the Czech GDP.

In the first quarter, the Czech economy fell by two percent year on year. Compared to the previous quarter, GDP was lower by 3.4 percent, which was the most significant in the Czech economy since the beginning of 2010.