Thursday, 19 July 2018

HKČR: GDP will grow 3.6%, companies invest in robots

CIA News |
7 November 2017

The Czech economy will reach a growth by 3.6% in 2018. The growth will likely be driven by a higher foreign demand related with the economic recovery in the euro area and a robust domestic demand.

This stems from a macroeconomic prediction published by the Chamber of Commerce of the Czech Republic (HKČR). A lack of qualified labour force will be the main barrier for a quicker dynamics in GDP. The lack of qualified labour force will also force a nominal growth in wages by 8.6%.

The exhaustion of the labour market will also cause more significant investments in new technologies and robots. A growth in fixed investments will reach 5.3%. The inflation will be close to upper threshold of the tolerance band of the central bank, i.e. around 3%.