Prague: The gross domestic product (GDP) of the Czech Republic fell by 0.4 per cent quarter-on-quarter in the fourth quarter of 2022, according to data published by the Czech Statistical Office (CSU) on Friday.
As this is the second quarter in a row that the country has seen negative growth, it now fits the technical definition of a recession, reports Xinhua news agency.
However, in year-on-year terms, the GDP rose by 0.3 per cent, and by 2.5 for 2022.
In an analysis published on March 23, the CSU pinned slowing economic growth on a reduction in household consumption due to a fall in real earnings spurred by rising costs.
The latest national inflation report published in March for the month of February saw year-on-year inflation come in at 16.7 per cent, well above the upper band of the Czech National Bank’s tolerance threshold.
In its quarterly sectoral accounts report also published on Friday, the CSU noted that the real income of households fell by 5.4 per cent in 2022, while real consumption per capita decreased by 0.8 per cent year-on-year.