Actual (May): CZK 11.7bn
Consensus: CZK 7.0bn
Previous (April): CZK 12.0bn
Trade balance keeps in surplus as imports are falling quicker than exports. There is no positive interpretation of today’s figures. Exports fell by 21.2% showing persisting negative impact of the euro zone recession on the Czech economy. Imports declined by 23.2% helped by fading investment activity, household demand and lower import prices (oil, gas and other commodities).
Trade balance reached higher surplus that a year ago, however, adjusted for changes in terms of trade the situation is opposite. Foreign trade is likely to contribute to the GDP growth in 2Q negatively again.