Financial News: Czechia Inflation Eases To 4-month Low; Retail Sales

Czechia Inflation Eases To 4-month Low; Retail Sales Growth Rebounds

07/07/2026 - 08:10:00 (RTTNews)

(RTTNews) - Czechia's consumer price inflation moderated further in June to the lowest level in four months, while retail sales grew at an accelerated pace in May, separate reports from the Czech Statistical Office showed on Tuesday.

Consumer prices climbed 1.5 percent year-over-year in June, slower than the 2.1 percent increase in May, flash data revealed. Economists had expected the inflation to ease to 1.9 percent.

The deflation in food and non-alcoholic beverages deepened to 3.4 percent from 1.9 percent in May. Inflation based on services eased to 4.5 percent from 4.7 percent. Energy costs also grew at a slower pace of 1.9 percent versus a 2.2 percent increase a month ago.

On a monthly basis, consumer prices dropped 0.3 percent versus an expected flat change.

Retail sales, except for motor vehicles and motorcycles, rose a calendar-adjusted 4.7 percent year-on-year in May, faster than the 0.8 percent increase in April. In March, sales growth was 6.2 percent.

Sales of food products rebounded 2.9 percent from last year, and those of non-food items rose sharply by 7.4 percent. Sales and repair in connection with motor vehicles increased by 4.6 percent.

Compared to the previous month, retail sales expanded 1.3 percent.

Another piece of official information showed that the trade surplus of the country shrank to CZK 9.9 billion in May from CZK 10.9 billion in the same month last year as imports grew 6.0 percent amid a 5.6 percent growth in exports.

Trade in computers and electronic and optical equipment was the main driver of growth in both directions of international trade, the agency said.

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