The Czech Republic has a comparatively advanced industrial base supported by industrial clusters of foreign companies centered on manufacturers such as automobiles. The economy will likely maintain stable growth backed by the firm private consumption. Given that the government has been tackling the challenge of fiscal consolidation, the reduction of fiscal deficit and a drop in government debt ratio can be expected. R&I has affirmed the Foreign and Domestic Currency Issuer Ratings at AA-, based on the recognition that the external stability has also been maintained. [....]