Daily economic news from the Czech Republic: Škoda Auto, CEZ, inflation, industrial orders (22 April 2025)

Overview of current economic events in the Czech Republic

Growth and stabilisation of the Czech economy

According to new data from the Czech Statistical Office, the Czech economy is showing signs of stabilisation. Quarter-on-quarter GDP growth reached 0.6 %, confirming a gradual recovery from the previous period of high inflation and low consumer confidence. Industry and export production remain the main drivers of growth.

Inflation in April and CNB monetary policy

According to the CNB's preliminary estimate, annual inflation fell to 2.5 % in April, which is close to the central bank's target. Governor Ales Michl confirmed that the CNB is not planning a sharp change in interest rates, but continues to monitor energy prices and wages.

Investments in the automotive sector

Škoda Auto has announced the start of the conversion of part of its plant in Mladá Boleslav into a production line for electric SUV models. The investment of over CZK 1.2 billion is part of a wider plan to decarbonise production and increase export capacity within the Volkswagen Group.

Energy and renewables

CEZ Group today commissioned a new solar park near Hodonín, which will supply electricity to up to 5,000 households. As part of its strategy to 2030, the company plans to increase the share of renewable sources in production to 30 %.

Industry and contracts

The Ministry of Industry published a report on the growing volume of foreign orders in the field of engineering and optical technologies. The biggest increase was recorded by Meopta, which won new contracts in the USA and Germany.

Foreign impacts and outlook

At the global level, investors are watching with tension the development of negotiations between the US and China regarding new tariffs. Analysts warn that a further increase in trade tensions could have an impact on Czech exports, especially in the electronic components and automotive industries.

Current exchange rates according to the CNB and Google Rates

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