The impact of Czech national bank foreign exchange interventions on czech economy during 2014

This thesis analyzes development of selected macroeconomic indicators in the last two years. Czech National Bank selected foreign exchange interventions as the most suitable instrument for further easing of monetary policy and the main reason for their initiation was the risk of deflation at the beginning of 2014. This research compares condition of Czech economy in the period before interventions and then one year after. By combining data analysis with theoretical findings I reached the conclusion that interventions could not affect price developments in such a short period of time. On the other hand, other indicators showed significant improvement, which supported economic growth during 2014