Economic climate
The Czech economy is making a solid recovery after the global financial crisis, although tempered by the challenging international business environment.
The Czech Republic is amongst the most stable and wealthy of the post-communist states of Central and Eastern Europe. Maintaining an open investment climate has been a key element of the Czech Republic's transition from a communist, centrally planned economy to a functioning free market economy. As a member of the European Union, with an advantageous location in the centre of Europe, a relatively depressed cost structure, and a well-qualified workforce, the Czech Republic is an attractive destination country for foreign direct investment as well as for pilot projects prior to expansion to other Central and Eastern European countries. Prior to its European Union (EU) accession in 2004, the Czech government harmonised its laws and regulations with those of the EU.
Since the Czech Republic entered the EU, the range of trade and investment opportunities has been growing. Expectations are that exporters will continue to profit from the Czech Republic's economic transformation, as major upgrades of pollution control equipment, telecommunications equipment and services, energy production and distribution, housing and municipal infrastructure and medical services continue.
There are increasing opportunities for Australian business in:
- Services, especially franchising
- IT (smart card applications, e-government, e-business)
- Automotive industry (components and spare parts, R&D)
- Education and training
- Healthcare
- Biotechnologies
- Nanotechnologies
- Infrastructure
For the latest key economic indicators and statistics, please see the Department of Foreign Affairs and Trade country economic fact sheet.
|