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The policy programmes of the two main rivals in May’s general elections, the Civic and Social Democrats, would lead to approximately the same public finance deficit, according to an analysis by the business daily Hospodarské noviny. The paper says that while the Social Democrats would achieve that result by generous social handouts, the Civic Democrats would be hampered by their promise not to raise taxes. Both would lower public spending by between 15 and 16 billion crowns. Two smaller newly-established parties, the right-wing TOP O9 and centrist Public Affairs Party would both do better, cutting the deficit by 50 and 19 billion crowns respectively.

Czech household debt climbed to 993 billion crowns in March of this year, up by 87 billion against February, the Czech National Bank reported on Friday. Meanwhile, the debts of businesses decreased by 7.2 billion on the month and 88 billion on the year to 900 billion crowns. Financial experts say the figures reflect the current state of the economy and unemployment rate. An increasing number of Czechs are proving incapable of re-paying their household debts and banks are now more cautious in granting loans.

A survey conducted by the polling agency STEM suggests that 63 percent of Czechs are worried about losing their job as a result of the economic crisis. The vast majority of them said they would be willing to work for less if it would help them keep their job, or take a requalification course to work in a different capacity. On the other hand, few would be willing to move to a different part of the country to get employment.

Czech President Václav Klaus has said that Germany must be prepared to bear the negative effects of European integration it always championed. Speaking at Humboldt University in Berlin on Thursday, Mr Klaus said that freedom and prosperity in Europe are at risk, and that the Lisbon treaty had failed to bring more democracy to the European Union. According to the Czech president, EU enlargement had caused the bloc to lose its decision-making potential. Mr Klaus also drew a parallel between the European Union and communism saying that both deny nations equality and sovereignty. Despite the existence of the formal posts of EU president and foreign minister, and the EU flag and anthem, it is Germany and France who wield the real power, President Klaus added.