Czech public procurement reaches CZK 1.1 trillion as investment spending expands

18 September 2026

The Czech public procurement market increased substantially in 2025, with the value of contracts reaching CZK 1.109 trillion as infrastructure projects, regional investment and higher defence expenditure contributed to greater public-sector spending.

According to the annual report covering public procurement and its digital administration in the Czech Republic, the market expanded by approximately CZK 106 billion from CZK 1.003 trillion in 2024. Procurement represented 12.96% of Czech GDP, compared with 12.45% a year earlier, placing its share of the economy above the longer-term average.

The number of contracts also increased, although considerably more slowly than their overall value. A total of 15,674 public contracts were awarded during 2025, 364 more than in the previous year, indicating that larger expenditure rather than simply a sharp increase in the number of tenders was behind much of the market’s growth.

Investment activity accounted for an important part of the increase. Infrastructure construction and expenditure by municipalities and regional authorities contributed to higher procurement volumes, alongside greater spending on defence. For the construction and property sectors, the figures point to continued public-sector demand for contractors, engineering companies and other businesses involved in delivering infrastructure and municipal investment programmes.

Sector contracting authorities recorded particularly strong growth. Procurement undertaken by these organisations increased from the equivalent of 1.85% of GDP in 2024 to 2.21% in 2025. Spending by other public contracting authorities also increased relative to the size of the economy.

At the same time, a smaller proportion of procurement appeared in the country’s Public Procurement Information System. Contracts worth CZK 642 billion were registered in the system during 2025, down by CZK 34 billion from the previous year. As a result, registered contracts represented 57.89% of the overall market, compared with 67.4% in 2024 and a ten-year average of approximately 71%.

The report associates part of this decline with changes to the thresholds applying to smaller public contracts. Contracts below certain values are not necessarily required to be entered into the central information system, meaning growth in the overall procurement market is not fully reflected in the registered figures.

There was also a shift between different procurement categories. The number of contracts conducted under the above-threshold regime increased to 8,247, up by 1,327 from 2024, although their combined value declined by CZK 57 billion to CZK 426 billion. Below-threshold procurement moved in the opposite direction, with around 5,913 contracts awarded, approximately 400 fewer than a year earlier, while their combined value increased by about CZK 27 billion to CZK 98.7 billion.

Changes were also visible in the procedures used to award public work. Open tenders accounted for 66.5% of the value of contracts registered for public contracting authorities, an increase of eight percentage points compared with the previous year. Meanwhile, the proportion awarded through negotiated procedures without publication declined from almost 20% to 6.3%.

The longer-term figures show how significantly public procurement has expanded in nominal terms. The Czech market was valued at CZK 720 billion in 2020 before increasing to CZK 850 billion in 2021, CZK 878 billion in 2022 and CZK 925 billion in 2023. It passed CZK 1 trillion in 2024 before reaching CZK 1.109 trillion in 2025.

For the construction and infrastructure sectors, the 2025 figures underline the increasing scale of the public sector as a source of investment demand. Infrastructure development and expenditure by municipalities and regions are contributing to a procurement market that has grown by more than CZK 380 billion in nominal terms since 2020, although changes in reporting thresholds mean an increasing proportion of that activity is taking place outside the central procurement information system.

Source: CTK

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