Cabinet agrees compromise approach on Cesky Telecom sale; Government agrees to reduce public spending and approves plan to help young Czechs buy their own homes; OECD urges faster pension and health reforms; average monthly wage up 7 pct in Q3.
Cabinet agrees compromise approach on Cesky Telecom sale
Government agrees to reduce public spending
Czech city of Ostrava loses out to Slovakia as site of new Ford plant
The Czech city of Ostrava lost out to Slovakia's Kosice as the location of a new Ford automotive plant. Slovakia reportedly offered better tax incentives and lower wages. Ford will invest from 300 to 400 million euros into the new Slovak plant, which will make engine parts.
Government approves plan to help young Czechs buy their own homes
OECD tells Czech Republic to speed up pension and health reforms
The Organization for Economic Cooperation and Development has called on the Czech Republic to speed up pension and health care reforms. In a report on the state of the economy published this week, the OECD warned that the objective of achieving a deficit equal to three percent of GDP by 2008, which is a condition for adopting the euro, would not be reached without further measures. The Czech Republic would like to join the euro-zone sometime at the end of the decade.
Average monthly wage up 7 pct in Q3
The average gross monthly wage in the Czech Republic grew more than 7 percent in nominal terms this last quarter and 4.0 percent in real terms. State employees saw their average wage climb to just over 17,000 crowns per month, while private sector workers' salaries grew to reach nearly 18,000 crowns, the equivalent of about 560 euros per month.