The Czech Republic - regional leader in the external trade balance of goods per GDP
The Czech economy boasts the highest external trade balance of goods surplus in % of GDP of all countries in the neighbourhood in 2014. As early as 2012, the Czech Republic overtook Germany's external trade balance per GDP ratio and its share continues to increase. In 2014, the Czech external trade balance of goods surplus climbed to an impressive 10.5% of GDP.
A high external trade balance surplus means that the country is exporting more goods than it is importing. This can be due either to sluggish imports, for example because of a weaker economic position (e.g. due to a domestic recession) than abroad and/or the result of more competitive goods produced in the surplus country, which are successfully sold abroad.
To measure the export orientation of a country, the Exports of goods to GDP ratio or the more comprehensive Export of goods and services to GDP ratio can be used. The higher the ratio, the more export oriented the economy.
Author: Vojtech Petrik