Selected economy indicators - October 2004
Selected economic indicators
Publication Date: 13. 12. 2004
Product Code: r-1101-04
SEPTEMBER AND JANUARY- SEPTEMBER 2004
Industry
The y-o-y industrial production index reached 106.6% or 108.8% after working days adjustment. Industrial production raised most in the production of capital goods (by 10.1%) and intermediate goods (by 9.2%). The highest increases in the industrial production were observed in the following CZ-NACE activities: manufacture of basic metals and fabricated metal products, manufacture of pulp, paper and paper products; publishing and printing and manufacture of transport equipment. Decreases in the industrial production were recorded for manufacture of leather and leather products, manufacture of textiles and textile products and mining and quarrying of energy producing materials.
The m-o-m seasonally adjusted industrial production was 0.5% up (compared to August 2004).
Sales in industry at constant prices were higher by 8.0% y-o-y (or 10.3% after working days adjustment). Direct export sales rose by 17.2% really and their share in total sales of industrial enterprises stood at more than one half (at current prices). Industrial foreign-controlled enterprises raised their sales by 13.2% y-o-y. The y-o-y decrease in number of employees in industry typical for previous months, came to a halt in September and raised by 0.1% (i. e. by 1.3 thousand) for first time after three years. Labour productivity (sales per employee) increased by 7.9%. In September the average monthly nominal wage amounted to CZK 17 073, which was up both nominally and really by 6.7% and 3.6% than last year. Labour productivity grew faster and outstripped increase of average wages. As a result unit wage costs dropped by 1.1%.
January to September the y-o-y industrial production grew by 10.1% (the same number of working days as in the last year). In Q1 was up by 9.0%, in Q2 by 12.6%, in Q3 by 8.7%. The Q1 – Q3 sales in industry rose by 9.9%, direct export sales rose by 16.5%. The average number of employees in the industry fell by 0.6%, average monthly nominal wage increased by 7.3%, really by 4.5%. Labour productivity was 10.6% up; the y-o-y unit wage costs dropped by 3.0%.
Construction
Growth rate of construction outputs slowed down. In September it expanded by 3.2% at constant prices (after working day adjustment it was by 4.4%) y-o-y . The growth slowed down in both segments of construction – i. e. both in building and civil engineering. Volume of construction work on repairs and maintenance even decreased. The y-o-y number of employees in construction enterprises with 20+ employees rose by 4.0%. The average monthly wage of employee reached CZK 18 249, rising by 4.8% nominally and really by 1.7% y-o-y. Labour productivity dropped by 0.9%, on that account unit wage costs climbed by 5.7%. The m-o-m seasonally adjusted construction outputs reduced by 0.8% (compared to August 2004).
January to October the y-o-y construction outputs increased by 11.4%. In enterprises with 20+ employees labour productivity increased by 7.3 %, the average monthly wage rose by 6.9% nominally and 4.1% really. Unit wage costs dropped slightly by 0.4%. In Q1 volume of construction outputs expanded by 16.1%, in Q2 enlarged by 16.5%, in Q3 lessened to 5.4% - compared to the equal period of the last year.
External trade
In September turnover of external trade continued growing, the y-o-y current prices exports and imports were up by 20.8% and 18.7%, respectively. Due to the appreciation of the Czech koruna against the US dollar and against the euro, both exports and imports grew faster both in terms of US dollars and in terms of euros then in the Czech korunas . Trade balance ended in a surplus of CZK 3.2 bn (compared to September 2003 it was by CZK 2.7 bn higher). This is the second highest surplus reached this year since February, when amounted CZK 4.1 bn. Balance with EU member states reached a surplus of CZK 20.7 bn, balance with non-EU ended in a deficit of CZK 17.5 bn. A marked improvement occurred particularly in trade in machinery and transport equipment, which finished in surplus of CZK 6.4 bn. On the contrary the balance deteriorated in trade in mineral fuels resulting in deficit of CZK 2.7 bn. The m-o-m (i. e. compared to August) seasonally adjusted exports were down by 1.2%, whereas imports were up by 3.6%.
January to September 2004 the y-o-y exports and imports increased by 22.7% and 19.9%, respectively. The trade deficit reached CZK 14.8 bn only; compared to the equal period of the last year dropped by CZK 21.3 bn. In Q1 trade balance reached a surplus of CZK 0.6 bn, whereas in Q2 finished with a deficit of CZK 11.3 bn, in Q3 reached a deficit of CZK 4.1 bn. In preceding years the Q3 trade balance results were always worse than those in Q2.
OCTOBER 2004
Consumer prices
In October the m-o-m consumer prices level increased by 0.5% (i.e. compared to September). In average prices of goods went up by 0.7%, prices of services by 0.2%. Prices of housing (influenced by higher prices in natural gas by 11.0%), transport (automotive fuels went up by 2.6%) and cloth and footwear (seasonal prices increase of winter cloth and footwear). Prices in restaurants and hotels, canteens in schools and canteens, as well as in public telecommunication services rose slightly, too. In food and non-alcoholic beverages prices stopped decreasing after three months. The seasonal drop was recorded for therapeutic stays at spas and domestic recreational stays. The y-o-y price growth by 3.5% (i.e. by 0.5 p.p. higher than in September) affected prices in housing, transport, post and telecommunication services (due to changes in VAT rate in public telecommunication services). In total, prices of goods put up by 1.7% and prices of services by 6.2%. Inflation rate , i.e. an increase in the average consumer price index for last 12 months related to the average CPI for the preceding 12 months amounted to 2.5% in October.
Unemployment
Since July 2004 Ministry of Labour and Social Affairs of the Czech Republic has published the registered unemployment rate according to the new methodology , which is keeping with ways of calculation in EU-members states. In accordance with it unemployment reached 8.9% at the end of October 2004. Labour offices registered almost 480 thousand of unemployed job applicants being able to take a job. The m-o-m registered unemployment rate diminished in almost all regions (except Karlovarský region). According to the former methodology , the registered unemployment rate was 9.9%, in account of in dropped slightly in comparison to October 2003. Number of job applicants lessened by 4.5 thousand and at the end of October arrived at 517.8 thousand. Number of freshly graduated students reduced, too. Their share in total unemployment rate fall by 10.2% (11.0% at the end of September). Number of job possibilities increased to 49 thousand at the end of October; compared to the previous month it was by 1.9 thousand more (compared to the equal period of the last year up by 4.8 thousand). Number of applicants per one job opportunity was 10.6 compared to October in the last year when it was 11.8.
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