GDP Resources and Uses - 1st quarter of 2026

The refined estimate confirmed the ongoing growth of the Czech economy. The gross domestic product (GDP) adjusted for price effects and seasonally adjusted[1] increased by 0.2% compared to the previous quarter. In the year-on-year comparison, it increased by 2.2%.

The gross value added (GVA) increased in the Q1 2026 by 0.2%, quarter-on-quarter (q-o-q). Mainly a group of economic activities of trade, transportation, accommodation and food service activities (+0.4%), financial and insurance activities (+4.3%), and professional, scientific and technical activities and administrative activities (+0.9%) supported the quarter-on-quarter development. The following were also successful: construction (+0.2%) and real estate activities (+0.4%). On the other hand, a negative influence came from industry (-0.7%).  

The year-on-year (y-o-y) GVA growth by 2.1% was positively influenced especially by industry +0.3 percentage point (p. p.; +1.3%), by a group of economic activities of trade, transportation, accommodation and food service activities +0.5 p. p. (+2.8%), and information and communication +0.4 p. p. (+5.2%). All economic activities of the national economy were successful.

“On the demand side, gross fixed capital formation and change in inventories were the key factors of the q-o-q GDP growth in the first quarter of 2026. A negative influence came from final consumption expenditure in total and international trade balance,” Vladimír Kermiet, Director of the National Accounts Department of the Czech Statistical Office (CZSO), comments on the data.

The following had a positive influence on the year-on-year GDP growth (+2.2%): final consumption expenditure of households +1.1 p. p. [2], final consumption expenditure of general government +0.3 p. p., and the gross fixed capital formation +1.6 p. p. A negative influence came from a change in inventories -0.5 p. p. and international trade balance (-0.3 p. p.).

Final consumption expenditure increased by 0.3%, q-o-q. In the y-o-y comparison, it increased by 2.9%. Final consumption expenditure of households increased by 0.6%, q-o-q, and by 3.4%, y-o-y. Final consumption expenditure of general government decreased by 0.3%, q-o-q, and in the y-o-y comparison it increased by 1.7%.

Gross fixed capital formation increased by 2.0%, q-o-q, and in the year-on-year comparison, it increased by 7.3%. A year-on-year increase was primarily recorded by investments to other buildings and structures and to transport equipment.
The change in inventories[3] was CZK -12.4 billion, which was by CZK 6.2 billion less compared to the corresponding quarter of the previous year.

The international trade balance of goods and services at current prices reached the value of CZK 114.7 bn; thus it was by CZK 16.7 bn lower than in the corresponding period of the previous year. Exports increased in real terms by 3.8%, q-o-q, and in the y-o-y comparison it increased by 5.8%. Imports increased by 5.8%, q-o-q, and in the y-o-y comparison it increased by 8.2%. Mainly imports of computer, electronic and optical products increased.  

The price level measured by GDP deflator decreased by 0.3%, q-o-q, and in the y-o-y comparison, it increased by 2.9% in the Q1 2026.

The volume of labour costs[4] increased by 8.9%, y-o-y, in the Q1 2026.

Total employment[5] increased by 0.4% compared to the previous quarter and in the y-o-y comparison it increased by 1.1%. The number of hours worked in total decreased by 0.1%,
q-o-q, and in the y-o-y comparison it increased by 3.0%.