In November 1989, Czechoslovakia transitioned from communism through a smooth transfer of power revolution from communism to a liberal democracy. The “Communist Divorce” in 1993 achieved among its principal and most significant triumphs to peacefully divided what as know till then as Czechoslovakia into the Czech Republic and Slovakia.
In 2004 The Czech Republic joined the European Union which brought impressive economic growth rates as well as an increase in foreign investments from Asia and other EU member countries. The Czechs Republic found higher than 6% annual growth in the next three years prior to the economic EU crisis of 2008. The Czechs Republic was not away from the slow economic recovery in Europe, It was slow but trade exports to Germany exports to Germany and rest of the EU, aided in a huge come back . Automotive and engineering products remain the major exports from the region as both the Czechs Republic and Slovakia are strong producers of vehicles for Hyundai, Volkswagen and other brand models like Fiat
Levels of economic recovery as reported by September 2015 after the GDP grew by 4.4% and till current moment the Czech Republic continues to prosper. The GDP rate that for the Czechs republic is 87% of the EU average, making it the highest growing economy in Europe. Furthermore he Czechs Republic has the lowest unemployment rate in European Union, at a rate of 3.5%. In the other hand the Czech Republic was ranked 27th amongst 149 countries by the CEE Prosperity Index forum . Among other points to be highlighted on the The Czech Republic it is important to stress on its prosperity surplus which means means that its economy delivers higher prosperity in relation to its wealth levels. To enter into a study of which factors considered the Czech Republic is unquestionably the most stable and prosperous nation to break away from communism.
Czechs Economy has been built on solid grounds in its post communist era, including the banks and telecommunications the country has privatized most of its services additional to the fact that the Monetary policy is conducted independently by the Czech National Bank through its official Czechs crown.
Business in the Czech Republic
Companies that are to be considered extra territorial or offshore companies are Non-resident and pay a 19% Corporation tax only that which is generated from Czech-sourced income where residents companies are taxed on worldwide income.