By the time of the 1100’s and 1200’s colonisation, trade and cultural activity were steadily on the increase. Prague, which lay at the heart of several continental trade routes, flourished. The Czech Kingdom became one of the most robust states in all of Europe with a growing population and a vigorous economy. During the reign of Wenceslas II (1278-1305), the mining of Czech silver at Kutna Hora and the minting of the Czech Silver Groschen, one of the hardest European currencies of the time, flourished. Under John of Luxembourg's rule, more territories including the regions of Cheb, Lusatia and Silesia were joined to Bohemia. All of these regions together, came to be known as the "Lands of the Czech Crown."

John’s successor, Charles IV,  was a very clever young man. He spoke 5 languages fluently (at a time when many crowned heads could not even read and write), and he was a masterful diplomat. He had friends in high places; Pope Klement, who was elected during Charles IV's reign, had been the Czech sovereign's tutor at court in Paris. The medieval Czech state reached the zenith of its power and importance under Charles IV. He was the King of Bohemia, later also Holy Roman Emperor, and today he is known as the Father of the Czech Nation.

He initiated a number of building projects in his reign, especially in Prague. It was at his behest that Charles Bridge and St. Vitus' Cathedral were built, and the "Hunger Wall" that he commissioned (remnants of which still stand today on Petrin Hill in Prague) is thought to be the first ‘works-project’ in the world, as he had it built to create employment for the poor and hungry masses.