Czechia, Romania and Hungary with high investment ratios

As we are waiting to see the 1Q25 GDP structure across the region (that will be flowing in over next two weeks), we look at the investment share to GDP. Apart from Poland and Slovenia, all other CEE countries have investment share to GDP above the EU average at 22%. Czechia and Romania have the highest investment share at 27%, while in Poland the share reaches barely 17.7% of GDP. In general, a higher ratio suggests strong capital investment, which can lead to higher future economic growth. On the other hand, a lower ratio may indicate underinvestment. We expect some revival of investment activity in 2025 as the flows from both the Cohesion funds and Recovery and Resilience Facility should begin to accelerate.