Czech central bank raises 2022 inflation forecast, cuts GDP outlook

div classBodysc17zpet90 cdBBJodivpPRAGUE Reuters – The Czech central bank on Thursday released the following forecasts in its updated macroeconomic outlook.p

p GDP 2022 2023 pdivdivdiv classBodysc17zpet90 cdBBJodiv

p pct changed yy 0.8 3.0 3.6 3.4 p

p

pp AVG 3MO PRIBOR 2022 2023 p

p pct changed yy 7.0 4.3 5.1 3.3 p

p

pp AVG EXCHANGE RATE 2022 2023 p

p CZKEUR 24.2 24.1 24.3 23.9 p

p

pp AVG CONSUMER INFLATION 2022 2023 p

p pct changed yy 13.1 8.5 4.1 2.3 p

pNOTE. Brackets denote previous forecasts published in Feb. p

pThe forecast sees inflation at 3.8 in the second quarter of 2023, and at 2.7 in the third quarter of that year.p

pThe previous inflation forecast released in February pegged annual CPI at 3.0 in the first quarter of 2023 and 2.3 in the second quarter of 2023. p

pThe central bank always forecasts inflation for 1218 months ahead, the time it believes it takes for monetary policy decisions to filter fully through to the economy.p

pHowever, at the May 5 meeting, the board considered also a scenario with a “more distant monetary policy horizon” which “abstracts from inflation, which is being directly affected by strong external price shocks”, the central bank said.p

p

pp Reporting by Robert Mullerp

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