Czech Economy Joins Hungary in Recession
Both Czech and Hungarian economies, the second and third largest post communist EU members, shrank 0.2% in the first 3 months of the year. The GDP of both countries also shrank by 1.2% from the same time in the previous year.
The Hungarian economy has slipped into recession for a second time in four years before the recommencement of talks with the IMF and EU over a bailout loan package.
Exports from car manufactures including Skoda, Daimler and Audi continue to support the economies of the two nations, even with a weakening demand from their main markets in the euro area.