The Czech Republic boasts an enviable economic dashboard, characterised by strong growth rates, low levels of public debt and abundant fiscal headroom. This healthy position owes much to the fundamentals underpinning the economy. It also points to sound macroeconomic management on the part of the authorities. Alena Schillerová, the Czech Republic’s finance minister since December 2017, and its deputy prime minister since April 2019, has been integral to this success. Under her watch, government debt has decreased while the primary fiscal balance has remained positive.
The growth outlook for the Czech economy appears to be relatively stable, even if export growth is anticipated to be somewhat subdued. “We expect our gross domestic product to grow by about 2% per annum between 2020 and 2023. This growth should be driven by private demand, though investment expenditures and government consumption are also forecast to make a positive contribution. The growth of exports should remain sluggish in 2020 but it should gain some momentum from 2021 onwards, as global economic growth moderately recovers,” says Ms Schillerová.