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Inflation Slows More Than Forecast, Final Presidential Debates Take Focus

CZECHIA
  • Czechia's CPI inflation unexpectedly slowed to +15.8% Y/Y in December from +16.2% prior and was flat on a monthly basis, lending support to the CNB's view that a peak and rapid deceleration are in store this year. The statistics office said that the average inflation for 2022 was +15.1% Y/Y, the second highest reading in the history of the independent Czech Republic. The central bank will comment on the December inflation outturn at 13:00CET/12:00GMT.
  • Candidates in the Czech presidential election have just a couple of days to appeal to the voters. Petr Pavel and Danuse Nerudova will face off in a televised debate this evening (20:15CET/19:15GMT). Tensions have emerged between the two candidates, undermining their united front against ex-PM Andrej Babis, as each is fighting for the support of anti-Babis electorate. All three leading candidates will participate in a Nova TV debate tomorrow evening (click here to see the schedule of all expected debates).
  • The ANO movement led by Andrej Babis said it is planning to trigger a no-confidence vote against the government. Prime Minister Fiala commented that ANO has the right to to so, but he suspects it is part of the former Premier's presidential campaign.
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