Balance of payments – commentary

June 2026

The current account deficit amounted to CZK 80.5 billion in June. The balance of goods and services ended in a surplus of CZK 45.6 billion. Foreign direct investment dividends totalling CZK 124.8 billion were recorded on the debit side of the primary income balance. Income and capital transfers include a surplus on transactions with EU institutions, totalling CZK 15.0 billion.

Current account
(CZK billions)

Net capital inflows on the financial account (net borrowing) reached CZK 98.9 billion in June. Transaction growth in liabilities to non-residents reached CZK 173.9 billion, while transaction growth in assets vis-à-vis non-residents amounted to CZK 75.0 billion. Foreign direct investment recorded a net capital inflow of CZK 18.0 billion. The balance of flows in debt instruments showed an inflow of CZK 33.5 billion, while the balance of flows into equity capital recorded an outflow of CZK 15.5 billion. Portfolio investment recorded a net capital inflow of CZK 16.5 billion amid transaction growth in both liabilities to non-residents (CZK 17.0 billion) and assets vis-à-vis non-residents (CZK 0.5 billion). The increase in liabilities under portfolio investment was driven mainly by rising non-resident holdings of general government bonds (CZK 38.7 billion). By contrast, a decline was recorded in non-resident holdings of equity and investment fund shares issued by domestic companies (CZK 12.5 billion) and bonds issued by commercial banks (CZK 9.2 billion). On the asset side, purchases of non-resident bonds by domestic commercial banks contributed to the growth (CZK 8.2 billion).

Direct and portfolio investment
(CZK billions)

Other investment recorded a net capital inflow of CZK 91.2 billion amid transaction growth in both liabilities to non-residents (CZK 133.6 billion) and assets vis-à-vis non-residents (CZK 42.4 billion). The growth in liabilities within this category was driven mainly by deposits of non-residents with domestic banks (including the central bank), which increased by CZK 91.0 billion, and by other liabilities of domestic commercial banks to non-residents (CZK 26.9 billion). On the asset side, the transaction increase was driven mainly by the growing volume of loans to non-residents (CZK 24.2 billion). International reserves increased by CZK 31.0 billion in June owing to transactions.