GDP Resources and Uses - 3. quarter of 2024

The refined estimate confirmed an increase of the Czech economy. The gross domestic product (GDP) adjusted  for  price  effects  and  seasonally  adjusted[1]  was  by  0.4%  higher, quarter-on-quarter (q-o-q). In the year-on-year (y-o-y) comparison, it increased by 1.3%.

The gross value added (GVA) increased by 0.8%, q-o-q, and by 1.0%, y-o-y, in the Q3 2024. The q-o-q growth was mainly contributed to by industry (growth by 1.5%). The following were also successful: a group of economic activities of trade, transportation, and accommodation and food service activities (+0.7%), information and communication (+1.5%), and financial and insurance activities (+2.8%).

The y-o-y GVA development (+1.0%) was positively influenced mainly by a group of economic activities of trade, transportation, and accommodation and food service activities +0.5 percentage point (p. p.; growth by 2.6%). Other services were also successful. Industry and construction decreased by 0.1%.

“On the demand side, growing final consumption expenditure of households and change in inventories were the main factors of the quarter-on-quarter growth of GDP in the Q3 2024. Gross fixed capital formation and external demand had a negative influence,” Vladimír Kermiet, Director of the National Accounts Department of the Czech Statistical Office (CZSO) comments on the data. 

The y-o-y growth of GDP (+1.3%) was positively influenced by final consumption expenditure of households +1.4 p. p.[2], final consumption expenditure of general government +0.6 p. p., and by external demand +0.2 p. p. Gross fixed capital formation (-0.3 p. p.) and a change in inventories (-0.7 p. p.) had a negative effect.

Final consumption expenditure increased by 0.5%, q-o-q. In the y-o-y comparison, it increased by 2.5%. Of that, final consumption expenditure of households increased by 0.7%, q-o-q, and by 2.2%, y-o-y. Final consumption expenditure of general government decreased, q-o-q, by 0.1% and in the y-o-y comparison, it increased by 3.0%.

Gross fixed capital formation decreased by 1.2%, q-o-q, and by 0.8%, y-o-y. Decreasing, y-o-y, were investments in dwellings as well as in ICT and in other machinery and equipment. Mainly investments in other buildings and structures and in transport equipment increased. The change in inventories[3] was CZK +63.6 billion, which was by CZK 12.3 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 121.8 billion; it was thus by CZK 29.9 billion higher than in the corresponding period of the previous year. Exports increased in real terms by 1.9%, q-o-q. In the y‑o-y comparison, it increased by 4.0%; the development was influenced the most by an increase in exports of electronic and optical products and of motor vehicles. Imports increased by 3.2%, q-o-q; in the y-o-y comparison, it increased by 3.4%.

As for the price development in the Q3 2024, the total GDP deflator increased by 3.9%, y-o-y.

The volume of labour costs3 increased in the Q3 2024 by 6.5%, y-o-y.

The total employment[4]  remained unchanged, q-o-q; in the y-o-y comparison, it increased by 0.4%. In total, by 1.5% more hours were worked in the q-o-q comparison; in the y-o-y comparison, it was by 1.4% more.