10/04/2024 15:50
Czech
inflation stagnated at 2% yoy in March, in line with market consensus. At more decimal places, consumer
price growth was 1.97% yoy, the same as in the previous month. This was only
marginally higher than our estimate of 1.94%. Compared to the CNB’s last
forecast, published in early February, headline inflation was significantly
lower, with the central bank expecting 2.9% yoy for March. However, significant
deviations from the CNB’s forecast had already occurred in January and
February.
19/04/2024 10:39
We expect funding costs to
remain high in the first quarter of this year, despite several cuts in the
CNB's key interest rate. Costs will be increased by regulatory payments, which
are traditionally visible at the beginning of the year. Compared to the same
period last year, we do not expect a reversal of provisions, but rather an
increase. The effective tax rate is expected to be in line with previous
quarters.