Today, 27 June, the Czech National Bank raised interest rates by 25 basis points, or 0.25%, to the level of 1%. This is not a surprise to us. As our own Mark Robinson outlined in a November 2017 interview with Hospodářské Noviny, interest rate rises are required to re-balance the Czech economy, help curb strong consumption growth and dampen the threat of inflation. We see more interest rate rises coming in future quarters, especially if the Czech koruna weakens further versus the Euro.