TITLE

DATA & FORECASTS

PUB. DATE
May 2005
SOURCE
Emerging Europe Monitor: Central Europe & Baltic States;May2005, Vol. 12 Issue 5, p4
SOURCE TYPE
Country Report
DOC. TYPE
Country Report
ABSTRACT
This article offers update on the fiscal performance of Czech Republic as of May 2005. Koruna had traded high against the euro of CZK29.35/EUR in early March 2005. Although the currency had weakened by 3 percent during the end of the month due to rising returns on U.S. markets, better-than-expected gross domestic product growth figures are likely to support further appreciation of the currency for the second quarter of 2005. It is an accepted fact by the Czech government that both the euro and U.S. dollar affect koruna exchange. To address this issue, the Czech National Bank has reduced its benchmark interest rate to 2 percent. The rate reduction is aimed at bringing inflation towards the 3 percent year-on-year target.
ACCESSION #
16695817

 

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