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    World

    Czechs cross borders for bargains amid soaring inflation

    Czechs cross borders for bargains amid soaring inflation

    The Czechs are turning to cross-border shopping, primarily in Poland, due to inflation and the consistent rise in prices, Euronews reports. 

    Czechs cross borders for bargains amid soaring inflation
    Source: Euronews

    Products in Polish stores are priced up to 30% lower, not just for groceries like food, fruits, and vegetables, but also for high-ticket items such as clothing, electronics, and furniture. Shoppers explain that they make regular trips across the border for these reasons:

    "We typically come here once a week because products are either cheaper or of better quality for the same price. Here, I can fill my cart entirely, whereas in the Czech Republic, I can only fill half my cart for the same cost."

    The price surges in the Czech Republic are attributed to the impact of the COVID-19 pandemic and the Ukraine conflict, which has driven up energy costs. Even though inflation has eased from almost 30% to 14.3%, it remains one of the highest among European nations.

    What concerns Czech residents even more is that wage growth hasn't kept pace with inflation. According to a spokesperson for the Czech Republic's largest bank, Česká spořitelna, Filip Hrubý, the state is set to face substantial losses this year due to Czech citizens shopping for groceries in Poland:

    "It can be estimated that if spending in Poland continues at the same rate, the Czech state will lose around 3 billion Czech crowns in VAT payments by its citizens in Poland this year."

    The stability of the Czech crown is also encouraging cross-border shopping, with Czechs increasingly traveling to neighboring countries like Germany, Austria, and Slovakia to buy essential groceries and other goods.

    Inflation in the Czech Republic is decreasing slowly, which means that prices are staying the same or slightly increasing. Consequently, at the Polish border, there will still be a significant number of Czech customers.

     

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    04.09.2023, 20:19   Comments (0)   1257
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