Commentary of Jiří Moser, Managing Partner of PwC Czech Republic, on GDP
15.11.2012Company: PricewaterhouseCoopers Česká republika, s.r.o.
According to preliminary CSO estimate Czech economy declided by 1.5% in the third quarter of 2012 (compared to the second quarter 2012, GDP decreased by 0.3%).
Jiří Moser, Managing Partner of PwC Czech Republic, comments:
"A small open Czech economy is highly dependent on the condition of its business partners in the Eurozone. Although we expect that Germany remains in the black this and also next year, according to our expectations GDP of the Euro area decreases by 0.7% this year and will stagnate next year. The first noticeable signs of recovery are expected to happen in the middle of next year and more convincing growtn not sooner than in 2014. In our view the development of the Czech economy will be similar. We are awaiting one percent fall this year, next year we should get back in the black. As showed in recent PwC analysis, the greatest risk for Czech economy is the impact of recession in the Euro area and global economy. On the contrary healthy banking sector and own currency are strong aspect of the Czech economy. Our analysis showed that Czech Republic, now after Russia, is the second best prepared country for the potential further decline of the Euro area."
