The Czech Republic has registered relatively regular growth and attracted a high level of foreign direct investment. At the dawn of EU accession, these results need to be consolidated. One of the major challenges facing the Czech Republic will be to preserve the role of the Capital city Region of Prague and its surroundings as growth engines for the national economy, while ensuring adequate development in other regions. Strengthening major urban hubs such as Brno, Ostrava and Plzen but also the 18 medium sized cities is key to success in a country where close to 71% of the population lives in small towns and in urban areas. Rural areas, with their natural and cultural amenities, also need to continue being a focus point of national policies but with a greater emphasis on sustainable development and local initiative.
Persistence of high unemployment, particularly in structurally affected old industrial regions, requires both infrastructure priorities to facilitate access and also development of human capital, support to entrepreneurship and adoption of new technologies and processes. Likewise, indirect obstacles to labour-force mobility, such as the lack of a liberalised housing market, need to be removed, with adoption of proper measures to preserve and develop social housing.
The Territorial Review of the Czech Republic is integrated into a wider programme of national territorial reviews undertaken by the OECD Territorial Development Policy Committee. The overall aim of the territorial review series is to provide practical policy advice to national governments.
143 pages; ISBN 9789264106413
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Title: Czech Republic
Author: Organisation for Economic Co-operation and Development
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