The Czech National Bank left its two-week repo rate unchanged at 3.75% in August 2026, pausing after delivering its first interest rate hike since 2022 at the previous meeting. Although headline inflation remained below the central bank's target for most of the year, policymakers said demand-driven inflationary pressures persisted. The bank noted that headline inflation was held down by volatile components, particularly food prices, while government measures to contain price growth also helped keep inflation below target. Meanwhile, economic growth slowed in the second quarter of 2026 to 2% from 2.2%.