GDP Resources and Uses - 1. quarter of 2022

Czech economy increased by 0.9%, q-o-q

31.05.2022
Code: 050056-22
 

According to the refined estimate, the gross domestic product increased by 0.9%, quarter-on-quarter, in the Q1 2022. In the year-on-year comparison, it increased by 4.8%. The year-on-year GDP growth was supported mainly by the final consumption expenditure of households and by the gross capital formation, whereas external demand had a negative influence.

The refined estimate confirmed the increase of the Czech economy in the Q1 2022 both in the quarter-on-quarter (q-o-q) and in the year-on-year (y-o-y) comparison. The gross domestic product (GDP)  adjusted  for  price  effects  and  seasonally  adjusted[1]  was  by  0.9%  higher,  q-o-q. In the y-o-y comparison, the GDP increased by 4.8%.

The gross value added (GVA) increased by 0.8%, q-o-q, and by 4.4%, y-o-y, in the Q1 2022. In the q-o-q comparison, the biggest contributors to the GVA growth were manufacturing (3.2% growth) and construction (+6.4%). A group of economic activities of trade, transportation, and accommodation and food service activities (+0.6%) was also successful. A decrease occurred in financial and insurance activities (-3.2%) and in a group of economic activities of public administration, education, and human health and social work activities (-2.5%).

The y-o-y GVA growth (+4.4%) was the most contributed to by a group of economic activities of trade, transportation, and accommodation and food service activities +2.3 percentage points (p. p.; 14.1% growth), construction +0,6 p. p. (+9,6 %), real estate activities +0.4 p. p. (+3.6%), and a group of economic activities of public administration, education, and human health and social work activities +0.4 p. p. (+2.3%). Manufacturing had a negative influence of -0.2 p. p.
(-0.7%).

On the demand side, increasing expenditure on the gross fixed capital formation and external demand were the main factors of the q-o-q GDP growth in the Q1 2022. The y-o-y increase of GDP (+4.8%) was mainly influenced by expenditure on final consumption of households +3.4 p. p.[2], investment expenditure +1.6 p. p., and change in inventories +1.5 p. p., whereas external demand had a negative influence (-2.0 p. p.).

“The different structure of contributions to the GDP growth in the year-on-year and quarter-on-quarter comparison is caused by several important factors. The comparison basis of the previous year has still been influenced to a great extent by anti-epidemic measures and a lack of components especially for industry. This year, household expenditure already started to reflect the increasing price level and reduction of their expenditure mainly to durables,” Vladimír Kermiet, Director of the National Accounts Department of the Czech Statistical Office (CZSO) comments on the data. 

Final consumption expenditure decreased by 0.8%, q-o-q, and increased by 6.2%, y-o-y. Of that, final consumption expenditure of households decreased by 1.0%, q-o-q. The decrease occurred mainly at expenditure on purchase of durables. In the y-o-y comparison, final consumption expenditure of households increased by 8.5%. Final consumption expenditure of general government was 0.2% down, q-o-q, and 2.0% up, y-o-y.

Gross fixed capital formation increased by 4.5%, q-o-q. In the y-o-y comparison it increased by 7.4%. Increasing were mainly investments in dwellings, other buildings and structures, and transport equipment.

The international trade balance of goods and services at current prices amounted to CZK 10.7 billion; thus it was by CZK 86.2 billion lower than in the corresponding period of the previous year. Exports increased in real terms by 3.0%, q-o-q. In the y‑o-y comparison, it decreased by 0.1%, while the development was influenced the most by a decrease in exports of motor vehicles. Imports increased by 2.3%, q-o-q; in the y-o-y comparison it increased by 3.7%, mainly owing to an increase of imports of fabricated metal products and electrical equipment. On the contrary, imports of cars and sub‑deliveries for the automotive industry were decreasing.

As for the price development in the Q1 2022, the total GDP deflator increased by 5.8%, y-o-y, the most since the year 2002.

The total employment[3]  increased by 0.4%, q-o-q; in the y-o-y comparison, it increased by 1.5%. In total, by 0.8% more hours were worked in the q-o-q comparison; in the y-o-y comparison, it was by 6.4% more.

 

Notes:
Responsible head at the CZSO: Vladimír Kermiet, Director of the National Accounts Department, phone number (+420) 274 054 247, e‑mail: vladimir.kermiet@czso.cz
Contact person: Jan Benedikt, Quarterly Estimates Unit, phone number (+420) 274 052 750, e-mail: jan.benedikt@czso.cz
Used data sources updated as at: 24 May 2022
Time series: https://www.czso.cz/csu/czso/hdp_ts
The News Release web page: https://www.czso.cz/csu/czso/quarterly-national-accounts-gdp-resources-and-uses-and-gdp-preliminary-estimate
Next News Release will be published on: 29 July 2022
(GDP preliminary estimate for the second quarter of 2022)


[1] Unless otherwise stated, all data presented in this news release are adjusted for price, seasonal, and calendar effects.

[2] Contributions to the GDP growth (imports for final use excluded, unless otherwise stated).

[3] in terms of national accounts

 

  •      ahdp053122.docx

  • Annexes:
  • Table 1 Quarterly estimate of gross domestic product, seasonally adjusted
  • Chart 1 Gross domestic product and gross value added – quarter-on-quarter real growth rate, seasonally adjusted
  • Chart 2 Gross domestic product and gross value added – year-on-year real growth rate, seasonally adjusted
  • Chart 3 Gross domestic product in the Czech Republic and in the European Union – quarter-on-quarter real growth rate, seasonally adjusted
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Published: 31.05.2022
The data are valid as of the release date of the publication.


Contact: Information Services Unit - Headquarters, tel.: +420 274 056 789, email: infoservis@czso.cz