The Czech Statistical Office revised its full-year 2025 GDP estimate up a tenth of a point to 2.6% — the strongest expansion since 2022. That’s thanks in part to a strong Q4, which saw growth of 2.6% (y-o-y) and 0.6% higher than Q3. Household consumption led the charge at +3.0%, with gross fixed capital formation adding 2.0% and government spending contributing 2.2% — while the trade surplus widened to CZK 504.2bn (+CZK 0.8bn YoY in current prices).
During the year, employment rose 1.1% to 5.5 million, while hours worked climbed 2.3%, suggesting the gains are real rather than statistical.
For real estate, the macro read is straightforwardly supportive: consumer spending at 3% sustains retail occupancy, while the investment uptick suggest industrial demand will continue. All of which means the Czech National Bank’s 3.5% base rate looks unlikely to change anytime soon.
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