The economy is growing strongly on account of improving domestic demand and robust exports. Fiscal policy has been supportive of the recovery and the authorities' medium-term fiscal objective is appropriate, but fiscal framework legislation that would anchor policy is yet to be approved. The...

The Czech Republic entered the pandemic on a strong economic footing. Amid another surge in virus infections, the outlook is for a continued rebound in activity. However, the risks are tilted to the downside. Inflation remained marginally above the upper tolerance band in 2020 and increased...

This 2018 Article IV Consultation highlights that Czech Republic's growth has been strong, broad-based and job rich. The economy grew at 4.4 percent in 2017, led by strong domestic demand. The unemployment rate fell to a record low of 2.3 percent in April 2018, even with increased participation....

The 2023 Article IV Consultation with Czech Republic discusses that economic activity slowed down notably in 2023 but a rebound is expected in 2024, driven by a recovery in domestic demand. Growth is expected to pick up in 2024, led by consumption and fixed investment-as inflation fades and real...

Growth is gaining momentum, led by strong external demand while domestic demand is also picking up. The central bank’s foreign exchange intervention policy has helped stem deflationary pressures but inflation is still well below target. Following substantial fiscal adjustment over the past...

This 2022 Article IV Consultation highlights that Russia's war in Ukraine has stifled the Czech Republic's nascent recovery from the pandemic. Uncertainty is high due to the war with risks to economic activity tilted to the downside and risks to inflation tilted to the upside. The economy...

In recent years, the IMF has released a growing number of reports and other documents covering economic and financial developments and trends in member countries. Each report, prepared by a staff team after discussions with government officials, is published at the option of the member country

We explore the effects of fiscal and monetary policy shocks on key debt management variables and provide empirical evidence supporting the notion of a strict separation of economic policy from the debt management agenda. We find that a tighter monetary policy coupled with fiscal expansion...