Czech central bank cuts a key interest rate again with inflation down and the economy on the mend

PRAGUE (AP) — The Czech Republic’s central bank has cut its key interest rate for the fourth straight time as inflation dropped and the economy has shown signs of recovery. The cut by a half-percentage point on Thursday brought the interest rate down to 5.25%. The move was expected by analysts. Inflation dropped to 2.0% year-on-year in February. That equals the bank’s target and it remained unchanged at the same level in March. The Statistics Office says the Czech economy was up by 0.4% year-on-year in the first quarter of 2024. And it increased by 0.5% compared with the last three months of the previous year.