Finance ministry expects 2.5% growth in GDP in 2011

The Ministry of Finance expects growth in GDP of 2.5% in 2011, deputy finance minister Bohdan Hejduk told Czech Television on Sunday. The last prognosis for 2011, from April of this year, anticipated growth of 2.4%. The emerging coalition government wants to decrease the budget deficit to less than 3% of the gross domestic product by 2012 and balance public finances by 2016. Mr Hejduk said that the structural budget deficit would be better dealt with by restricting public expenses than by increasing taxes, but admitted that that method could slow the growth of the economy.