(Monika Procházková) The Czech trade balance exceeded all expectations in August in posting a CZK 15.6 bil. deficit (according to Reuters, the market consensus was of a deficit of CZK 8.7 bil.). Imports rose 42.0%, and exports were up also, by 25.1%. The trade deficit has deepened to CZK 73.6 bil. in the first eight months of 2000, some CZK 44.1 bil. higher than in the same period last year. The trade balance is particularly and negatively influenced this year by higher crude-oil prices. Further trade deterioration can be expected in September as the prices of crude oil further have further increased recently and as the koruna exchange rate weakens against the US dollar. Furthermore, the mild recovery of the Czech economy this year plays little role in the trade balance. We expect the full-year trade balance deficit to reach CZK 115 bil (vs. CZK a deficit of 64.4 bil. in 1999)