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CNB Staff Revise 2023 Inflation Outlook Slightly Lower

CNB

The Czech National Bank has published updated staff forecast as a press conference with Governor Ales Michl got underway, with the forecast horizon extended to 2025.

  • The inflation outlook for this year is now slightly lower than before:
    • 2023: +11.0% Y/Y (prev. 11.2%)
    • 2024: +2.1% Y/Y (prev. +2.1%)
    • 2025: +1.7% Y/Y (prev. - )
  • The koruna exchange rate is seen slightly firmer than in the Spring Forecast:
    • 2023: 23.9 (prev. 23.7)
    • 2024: 24.7 (prev. 24.3)
    • 2025: 24.6 (prev. - )
  • The central bank says that "inflation will slow further over the next few months. However, the drop in inflation will halt temporarily in 2023 Q4 due to the statistical effect of the energy savings tariff. Inflation will return close to the 2% target at the beginning of 2024."
  • Click here to see the main parameters of the updated forecast.

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