Prague, a storied city, has emerged as the 21st century political, cultural and business capital of the Czech Republic. With a metropolitan area population of about 1.3 million, Prague is an important consumer economy. Prague accounts for nearly one-quarter of the Czech economy’s total output, and Prague’s GDP per capita is more than twice the average of the rest of the Czech Republic.
Since the end of the Cold War, the Czech Republic has modernized and become tightly integrated with the economy of Europe, especially Germany’s. Modern road networks connect Prague to eastern and southern Germany. Accordingly, the Prague area is the largest logistics and distribution hub in the Czech Republic and the second largest in Central and Eastern Europe.
Prague’s economy revolves around services, including tourism, banking and information technology, which together comprise about 80 percent of the city’s employment. Consumption, e-commerce and rising volumes of trade are all boosting demand for distribution and logistics facilities. Prague is also home to pharmaceuticals and information technology products manufacturers.
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