Selected economic indicators - January, February 2010

Selected economy indicators

In January, industrial production volume increased y-o-y, for the second month. Due to the bad weather construction output dropped. In 2010 external trade started with the y-o-y growth in exports and imports. The trade balance ended in a surplus. In January was less one day than a year ago.
In February, the consumer prices level did not change m-o-m, but it was higher y-o-y. The registered unemployment rate and also number of job applicants went up to the record-breaking level.

JANUARY 2010

Industry

In January, the y-o-y volume of industrial production was by 5.3% higher (after working days adjustment increased by 8.0%). The results affected among others a lower comparative basis from January 2009, when the drop in industrial production reached the bottom. The total increase was most affected by 6.3 p.p. manufacture of motor vehicles, trailers and semi-trailers (growth by more than one half), by next 0.9 p.p. manufacture of rubber and plastic products (growth by 15.6%) and by 0.6 p.p. manufacture of basic metals, fabricated metal products, casting of metals (growth by 13.8%). A downward effect on the growth (-0.7 p.p.) came from manufacture of other non-metallic mineral products (drop by 16.4%) followed by manufacture of machinery and equipment and manufacture of electrical equipment. The seasonally adjusted volume of industrial production increased by 3.0% as against December.

Sales in industry at current prices went up by 0.3% y-o-y; direct export sales went up by 8.1%. Their share in total revenues of industrial enterprises made up 47.7%; in January 2009 it was less by 3.4 p.p.

The y-o-y average number of employees in enterprises with 50+ employees went down by 13.1%. Their average monthly wage amounted to CZK 23 671 was up nominally and really by 4.2% and 3.5%, respectively.

The y-o-y value of new orders in selected industrial branches increased by 3.7%, value of foreign orders went up by 6.8%.

Construction

In January, the y-o-y volume of construction output went down by more than one fourth (by 25.6% at constant prices), after working days adjustment by 24.6%. The weather with lots of snow in January that was colder than in previous years had an impact on such sizeable drop. Also a shortage of new construction orders occurred. Whilst in structural engineering the production went down only slightly (by 0.2%), volume of building construction reduced almost by one third. The m-o-m seasonally adjusted construction output went down by 22.0% in terms of real comparison.

The construction of 2 075 dwellings started, which was less by 28.3% than a year ago, also number of dwellings finished went down by 6.0% to 3 087.

An average number of employees in construction enterprises (with 50+ employees) went down by 7.8% y-o-y. Their average monthly wage reached CZK 24 134 and decreased by 0.3% y-o-y; in terms of real comparison its drop was 1.0%.

E xternal trade

In the first month of 2010, volume of exports continued in the annual growth started by the end of the last year (by 9.1%), volume of imports gained for the first time since September 2008 (by 3.5%) – all at current prices. The growth affected lower comparative basis from January 2009 when both volume of exports and imports went down approximately by one-fourth, y-o-y. The trade balance ended in a surplus amounted to CZK 13.1 bn that was by CZK 9.2 bn higher y-o-y. The trade balance with EU member states was active by CZK 46.6 bn, (by CZK 1.8 bn higher on a year ago) and with non-EU countries passive by CZK 33.5 bn, in January 2009 the debit was worse by CZK 7.4 bn. The surplus of external trade growth in trade of machinery and transport equipment, and further by improvement of balance in trade in consumer durable goods, mineral fuel, chemical products and raw materials had positive effect on the trade balance. On the contrary, the trade balance got worse in trade of semi-finished goods and materials and very slightly in trade of drinks, tobacco, foods and living animals. After seasonal adjustment, both m-o-m exports and imports went up by 7.2% and by 7.8%, respectively. Trends in exports and in imports went up by 2.4% and 2.5%, respectively.


FEBRUARY 2010

Consumer prices

In total, in February consumer prices level remained at the January level, prices of goods went down by 0.1%, and prices of services went up by 0.3%. The price level increase of food and non-alcoholic beverages (by 0.4%), holiday stays and culture (by 0.6%) compensated prices reduction in public transport, clothing and footwear (identically by 0.7%). In terms of the y-o-y comparison, consumer prices growth decelerated to 0.6% (i.e. by 0.1 p.p. less than in January 2010). The price level increase influenced especially prices of public transport (effect by 0.5 p.p., prices increase by 4.1%), prices in housing, water, energy and fuel identically by 0.3 p.p. (prices increase by 1.1%), and alcoholic drinks and tobacco (prices increase by 4.3%). A downward effect on the consumer prices level came from a price development in prices of food and non-alcoholic beverages (effect –0.4 p.p., price reduction by 2.5%). In total, prices of goods dropped by 0,5% and prices of services went up by 2.4%.

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 reached 0.8% in February and was by 0.1 p.p. lower than in January 2010. Living costs (hypothetical rental fee is not involved) in households of pensioners jumped by 1.1%.

In February, the average harmonized index of consumer prices increased in the Czech Republic by 0.4% y-o-y (according to a flash estimate of Eurostat, the HICP in Euro-zone was 0.9%).

Unemployment

The growth of registered unemployment rate (according to the Ministry of Social Affairs) decelerated, it increased by 0.1 p.p. m-o-m, and approached the ten-percent-limit (9.9%). The unemployment rate in females remained at 10.6%, in males increased by 0.2 p.p. to 9.5%. As against end of February 2009 the registered unemployment rate was higher by 2.5 p.p., Labour offices registered record-breaking 583,1 thousand job applicants. The m-o-m gain amounted to 8.9 thousand persons was higher by 154.3 thousand, i.e. by 36.0% annually. The m-o-m share of freshly graduated students and adolescents in the total number of unemployed people as against previous month and, as against end of February 2009 did not change and remained at 6.1%. Number of free number of job opportunities continued growing slightly for the second month, at the end of February amounted to 32,1 thousand. Number of applicants per one job opportunity was 18.2 compared to 6.6 applicants at the end of February 2009.


This press release was not edited for language.

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Published: 11.03.2010
The data are valid as of the release date of the publication.