Government expecting state deficit to reach 200 billion crowns
In view of the increased costs from the coronavirus pandemic the government is expecting a budget deficit of up to 200 billion crowns this year, Prime Minister Andrej Babis told Czech Television on Friday.
The government is counting on a steep drop in projected revenues and a significant increase in expenditures. It is currently preparing an aid package for small and mid-sized companies and will need to inject billions into the economy during and after the crisis.
It is now paying nursing care to millions of people who are at home with their children due to the closure of schools.
Billions of crowns are being spent on protective and medical equipment to tackle the coronavirus crisis.