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Czech third-quarter GDP growth revised downward to 4.2% from 4.7%

Czech third-quarter GDP growth revised downward to 4.2% from 4.7%

10.12.2008 14:25
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PRAGUE - INTERFAX CENTRAL EUROPE - Czech economic growth slowed to 4.2% in the third quarter of 2008, down from preliminary estimates of a 4.7% year-on-year (y/y), the Czech Statistical Office (CSU) said Wednesday.

"According to an updated estimate, real gross domestic product (GDP) increased by 0.9% quarter-on-quarter and by 4.2% year-on-year (not seasonally adjusted GDP grew by 4.3%)," the CSU said. "In total for Q1-Q3 2008, GDP was up by 4.6% year-on-year."

The statistical office said the GDP growth slowed further in Q3 due to the combination of external and domestic effects.

"Among the external affects were economic cooling in countries - the main trading partners of the Czech Republic and resulting increase of marketing difficulties of export-oriented producers," the CSU said. "These problems were aggravated by the strong crown and price development of petroleum products."

The CSU cited reduced growth in household consumption expenditure, due to higher consumer prices as the main domestic reason for the gradually decreasing growth of GDP.

"The main actor of economic growth was increasing external trade surplus," the statistical office said. "On the supply side of the economy, manufacturing and wholesale and retail trade were the biggest contributors to increasing total gross value added (GVA)."
 
Interfax


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