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Economy and Banking Sector of the Czech Republic

Financial Market Development

Financial Market Development
4.8 (max 7.0), 23rd out of 138 countries
Banks' Soundness
6.0 (max 7.0), 12th out of 138 countries

According to World Economic Forum's Global Competitiveness Report 2017-2018, financial market development in Czech Republic is scored 4.8 out of maximum 7.0 and ranked 23rd out of 138 analysed economies, trustworthiness and confidence of financial market is scored 5.3 (16th place).

Financial Market Development in Czech Republic.

Chart 1. Financial Market Development in Czech Republic. Source: WEF.


Soundness of banks is scored 6.0 bringing Czech Republic into the 12th place.

Soundness of Banks in Czech Republic.

Chart 2. Soundness of Banks in Czech Republic. Source: WEF.

Further Information

Deposit Guarantee Scheme

Maximum Protected Amount
100 000 EUR

Deposit Guarantee Schemes compensate certain deposits held by depositors of a bank that becomes unable to meet its obligations.

From a depositor's point of view it is important to know:

  • if the depositor is eligible within the terms of the deposit guarantee scheme;
  • if the depositor's bank is a participant in the deposit guarantee scheme;
  • if the depositor's type of deposit is covered by the deposit guarantee scheme.

All these details about deposit guarantee scheme in Czech Republic are summarised in Table 1.

Scheme Participantsall credit institutions operating in Czech Republic, branches of Czech banks abroad
Scheme Exemptionsbranches of foreign banks (covered by their home countries)
Eligible Depositorsnatural persons, legal entities
Covered Accountscurrent accounts, savings accounts, term accounts, deposit accounts, saving books
Covered Currenciesall (Czech crowns and foreign currencies)
Maximum Protected Amount100 000 EUR
Paid In CurrencyCZK

Table 1. Deposit guarantee scheme in Czech Republic.

Further Information

Country Ceiling for Deposits

Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.

Local Currency (Czech koruna)
Aa2 (high grade)
Foreign Currency
A1 (upper medium grade)

Local currency (Czech koruna) deposit ceiling for Czech Republic is set to Aa2 (high grade), foreign currency deposit ceiling is A1 (upper medium grade).

Deposit Rates

Average Deposit Rate (Oct 2018, CZK)
1.06 %  (Sep 2018: 0.98 %)
In October 2018, an agreed annualised deposit rate in local currency (Czech koruna) of new contracts with agreed maturity up to 1 year between credit institutions and households was 1.06%.
Deposit Rates in Czech Republic.

Chart 3. Deposit Rates in Czech Republic. Source: ECB.

Further Information

Banking Supervision

Česká národní banka

Banking Sector Structure

Number of Banks
60
Consolidated Assets (2017)
263.29 bln EUR  (+24.67%)
Recent Changes (2017)
new banks: 2, closed banks: 3

Currently there are 60 credit institutions operating in Czech Republic.

In 2017 consolidated banking assets in the Czech Republic were 263.29 bln EUR. The consolidated banking assets' evolution is shown at Chart 4 below.

Consolidated banking assets in Czech Republic.

Chart 4. Consolidated banking assets in Czech Republic.

Recent structural changes (2013 - 2017) of the banking sector of Czech Republic are summarised in Table 2.

20132014201520162017
Number of Opened Banks11212
Number of Closed Banks11113

Table 2. Recent structural changes in the banking sector of Czech Republic.

The list of the most recently opened banks in Czech Republic is provided in Table 3.

All the credit institutions operating in Czech Republic can be classified into several categories. Table 4 summarises the number of banks in each category.

CategoryNumber of Banks
Banks18
Branches of foreign banks25
Building societies5
Central banks1
Credit unions3
Loan associations1
Savings associations7

Table 4. Number of banks by category in Czech Republic.

There are 25 branches of foreign banks from 11 different countries in Czech Republic. Table 5 shows 10 countries having the biggest number of branches in Czech Republic.

Country of OriginNumber of Branches
 Austria5
 Germany4
 Slovakia3
 France3
 Poland2
 Netherlands2
 United Kingdom2
 China1
 Ireland1
 Denmark1

Table 5. Number of branches of foreign banks in Czech Republic grouped by country of origin.