Technology Creator or Consumer: The Trajectory of the Czech Economy

The Czech economy has long faced the constraints of sluggish productivity growth—a ceiling that can no longer be breached through cheap labor or further increases in public spending. Artificial intelligence stands as one of the few levers capable of fundamentally altering this structural issue. Yet, at the precise moment when decisions regarding its actual deployment are beginning to take shape, the new European regulatory framework for AI is coming into force.

The decisive factor will not be the mere existence of European rules, but the manner in which Czech institutions transpose them into methodologies, oversight mechanisms, and investment decisions. The outcome will determine whether regulation fosters a predictable environment for innovation or becomes yet another administrative barrier that stifles technology adoption and deters investors.

At stake is not merely the pace of AI implementation, but the strategic standing of the Czech Republic itself: whether it remains a passive recipient of regulations and technologies developed elsewhere, or whether it can pivot toward active utilization with a measurable impact on productivity, competitiveness, and the quality of jobs.