Czechs must prepare for further price increases, says bank chief. He spoke about the banking tax.

Rising energy and oil prices are impacting the costs of goods and services in the Czech Republic, prompting households to prepare for increased expenses. Raiffeisenbank's CEO Igor Vida noted that despite higher living costs, the banking sector is not currently facing repayment issues. He highlighted that Czech clients maintain a high payment morale, with only 16 out of 60,000 clients overdue on mortgage payments. Mortgage rates have been rising for seven months, nearing six percent, but Vida advises that decisions on mortgages should not be based solely on interest rates. He also warned against a potential bank sector tax, citing negative impacts seen in Slovakia. Additionally, he addressed the growing issue of fraud targeting clients' funds, emphasizing the bank's success in preventing 90% of such attacks.