Czech retail sales continued their upward trajectory in March, with a year-on-year growth of 3.4%, slightly up from February’s 3.2% increase. The Czech Statistical Office reports that e-commerce and fuel sales were the main drivers of this growth.
In a significant shift in consumer behavior, Czechs are not just spending on necessities but are increasingly making discretionary purchases. According to Vít Hradil, chief economist at Investika, March saw the highest volume of retail purchases since November 2021.
The sector breakdown shows fuel sales jumping by 10% year-on-year, while non-food goods increased by 5.1%. However, food sales experienced a slight decline of 0.6%, partly due to the timing of Easter holidays in late April.
Despite improving financial conditions, Petr Dufek from Banka Creditas notes that Czech consumers remain cautious, with many households maintaining high savings rates through bank deposits and investments. The service sector has also shown positive momentum, with a 3% year-on-year increase in the first quarter of 2025.