The Czech economy reported mixed news on June 9, 2026. Mortgage rates continue to rise, approaching 5.3 percent, while investments in apartments are the least attractive they have been since the end of 2022. The Prague Stock Exchange saw a slight decline. Eurostat ranked the Czech Republic third in the EU for the highest costs associated with servicing public debt, and the Supreme Audit Office (NKÚ) highlighted systemic failures in the state's management of public investments. On a positive note, Aero Vodochody achieved record profits, and unemployment fell slightly to 4.8 percent.

  • The average mortgage rate increased by 0.11 percentage points month-over-month at the beginning of June, reaching 5.3 percent. The monthly payment on a loan of 3.5 million crowns has increased by more than 800 crowns since March. This is according to data from the Swiss Life Hypoindex, which is based on interest rates offered at the beginning of each month.

  • Investments in residential properties are becoming less attractive. The UniCredit Bank indicator, which measures the net annual rental yield after deducting mortgage rates and government bonds, fell by 23 points during April and May to minus 3.46 percent – the lowest level since the end of 2022. Rising bond yields and more expensive mortgages dragged the indicator down, while the gross rental yield remained virtually stagnant.

  • The Prague Stock Exchange weakened at the beginning of the week, with the PX index falling by 0.12 percent to 2524.11 points. Shares of the insurance company VIG, Erste Bank, and Komerční banka recorded losses, while shares of ČEZ and Moneta Money Bank rose.

  • In 2023, the Czech Republic was among the EU countries with relatively higher costs for servicing public debt. According to a preliminary report from Eurostat, Romania was the worst among all member states, followed by Poland, and the Czech Republic ranked third.

  • The Supreme Audit Office (NKÚ) concluded in its summary report for the years 2020 to 2025 that the state has consistently failed in the management of public investments – decision-making is fragmented and detached from actual needs, leading to waste and increased project costs. Last year alone, the state invested approximately 400 billion crowns. As a specific example, the NKÚ cites the construction of highways, the cost of which per kilometer increased by approximately 84 percent from 2020 to 2024.

  • The aircraft manufacturer Aero Vodochody Aerospace achieved a record pre-tax profit of 502 million crowns last year, compared to just 102 million crowns in the previous year. The company's revenue increased by eight percent to 6.5 billion crowns. The L-39 Skyfox training aircraft program was a key driver, with annual deliveries to customers exceeding a historical record.

  • Unemployment in the Czech Republic fell to 4.8 percent in May, but remains higher than last year on a year-on-year basis. The industrial and construction sectors performed well in April, while foreign trade lagged behind expectations. Consumer prices rose by 2.1 percent year-on-year in May.

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