Czech companies are facing significant challenges in their business operations, with bureaucracy, regulations, and workforce shortages emerging as the primary obstacles. According to a recent ČSOB survey, business owners are particularly concerned about excessive paperwork, high tax burdens, and unpredictable legislation, alongside persistently high energy costs.
Business leaders are calling for a “bureaucratic detox,” with Zdeněk Zajíček, president of the Czech Chamber of Commerce, revealing that approximately 80% of regulations and obligations originate from Brussels. He warns that Europe risks falling behind competitors like the USA and China if it continues to maintain an over-regulated economy.
Small and medium-sized enterprises are showing signs of recovery, with business sentiment improving for the third consecutive half-year. However, this optimism is primarily seen in companies with revenues exceeding three million crowns, while smaller businesses remain cautious.
The survey also highlighted companies’ desire for simplified administration, tax system reforms, and accelerated construction proceedings. Additionally, business owners emphasized the need for greater support for working mothers through part-time opportunities and increased investment in Czech industry and development.
Despite these challenges, there’s a silver lining as demand is increasing. However, new concerns are emerging about U.S. trade policies and potential tariff wars. Industry experts stress that high energy costs continue to impact competitiveness, while insufficient support for research and development remains a persistent issue.