BAC: Czech economy to drop by 1.7 pct this year


An analysis by Bank of America predicts that the Czech economy will drop by 1.7 percent in 2009. According to the analysis, economies of central and eastern European countries will be affected by a falling demand from their western neighbours. Economic growth in the region will be also be hindered by problems of local banks and reduced levels of foreign investment. In 2008, the growth of Czech GDP slowed down to 3.5 percent.