The Fitch rating agency has confirmed the Czech Republic’s AA- rating in its most recent report on the country. The agency said the outlook for the Czech economy was stable given the expectation that the state’s institutions would continue with its healthy budgetary policy. The rating agency wrote that it expects Czech GDP to slow to 2.2 percent, down from 2.5 percent last year and to just 2.1 percent in 2.1 percent. By contrast, the consumer inflation rate according to Fitch will hit roughly 2.5 percent before slowing in 2021 to just 2 percent. As for interest rates, analysts at the rating agency expect the Czech National Bank to leave its basic interest rate at 2 percent, but that it could reduce them if economic growth fails to materalize.
