OECD: Czech economy thriving, focus should be on boosting skills, “greening” economy

16-07-2018 updated

OECD Secretary-General Angel Gurría is in Prague on Monday for an official visit, during which he presented the 2018 OECD Economic Survey and the Environmental Performance Review of the Czech Republic.

According to the OECD, the Czech economy is thriving, marked by robust employment, expanding exports and falling government debt. Efforts should now focus on boosting workforce skills and innovation to improve labour supply and productivity, further reduce poverty and inequality, and to “green” the economy, it said.

Czech GDP should grow 3.8% this year, according to the OECD, mainly driven by strong demand stemming from rising salaries and export growth. Next year, GDP growth should slow to 3.2%. The OECD warned that Czech property prices – the highest in the EU last year compared to wages – represent a risk to the stability of the economy. It also recommended reducing the overall tax burden.