Czech Republic - The Eighth Most Economically Stable Country in The World

Post date: May 05, 2011 5:14:45 PM

Czech Republic - The Eighth Most Economically Stable Country in The World

According to research conducted by Investment Bank Barclays is the Czech Republic number eight in the list of most economically stable countries in the world and second one (after Germany) in Europe. As stated in Czech magazine Ekonom this survey was unfortunately not published, all the information we can rely on are from magazine The Economist.

The research based its findings on comparison of solvency of individual states, their fiscal needs, dependence on external environment, strength of financial sector and institutional structure.

According to Czech Minister of Ministry of Commerce Martin Kocourek, this research shows that professional and financial world appreciates reform activities and economy measures of current government.

Investors financing Czech state dept trust Czech economy and find it very stable. They are willing to get state bonds with ten year maturity for very small interest of 3,4 percent. Czech state borrows money with the cheapest interest rates from all Central European countries.

There are still some alerting facts playing their role in the stability of the country such as current government deficit (195 bilion CZK last year) or the total level of debt (this year probably 45 percent of GDP). But in comparison with other European states, the situation is not at all critical especially after the austerity measures to be taken by the government.

Economically most stable countries according to Barclays

For more articles and information - click here