Czechia’s public finance deficit fell below 3% of GDP last year for the first time since 2019

Czechia’s public finance deficit was 2.8% of gross domestic product (GDP) last year, the Ministry of Finance said in its macroeconomic forecast on Thursday. For the first time since 2019, the deficit fell below 3% of GDP, which is one of the criteria for introducing the euro to the country. The ministry expects a further reduction in the deficit to 2.3% of GDP this year.

The public finance balance is calculated from the difference between the income and the expenditure of ministries and other state authorities, cities and municipalities, as well as public universities, public research institutes and health insurance companies.

Author: Danny Bate