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10/23/2024
The Czech Parliament is today (Wednesday) holding its first round of debate on the proposed state budget for next year. The government’s proposal includes a deficit of CZK 241 billion, which is CZK 41 billion less than the revised budget for this year. Opposition party ANO, as well as the Pirates, are calling for the budget to be sent back to the government for revision. The main priorities include public finance consolidation, boosting investments, and addressing the aftermath of recent floods. This year’s budget was adjusted in October to cover an additional CZK 30 billion in flood damage.
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10/22/2024
The International Monetary Fund (IMF) has revised its outlook for the Czech economy, forecasting a 1.1% GDP growth for 2024, up from the 0.7% predicted in April. This follows a 0.1% decline in 2022. For 2024, the IMF expects a 2.3% growth, slightly below the Czech Finance Ministry's estimate of 2.7%. Among Visegrád countries, the Czech Republic is projected to have the lowest growth this year. Inflation is expected to slow to 2.3% in 2023, with a further decline to 2% next year. Unemployment is forecasted to rise slightly to 2.8% before dropping to 2.5% in 2025.
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10/22/2024
The Czech Chamber of Deputies will be able to debate laws overnight once again, a measure pushed through by the coalition. The decision was made to ensure as many laws as possible can be discussed, particularly if extended speeches by opposition members delay proceedings. Leader of the government Civic Democratic Party MP group Marek Benda proposed the extended hours, citing concerns over potential delays due to opposition delaying tactics. The Chamber also unanimously agreed to fast-track government aid for those affected by recent floods in Moravian-Silesian and Olomouc regions. Additionally, lawmakers may debate a bill to abolish lay judges, which President Pavel vetoed, citing the need for more thorough analysis.
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10/22/2024
People in Czechia can expect morning fog or low clouds in some areas, particularly in Moravia on Wednesday. High temperatures between 12 and 16°C.
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10/22/2024
Car production in Czechia rose by 7.8 percent in the first three quarters of the year, reaching nearly 1,1 million vehicles. Of these, a little more than 100 thousand were electric vehicles, with their share in total production falling to 9.7 percent, a decrease of 3.5 percentage points. A total of about 75,000 vehicles were sold domestically, while over a million were exported, marking an 8.8 percent increase in exports. Car production results are typically a strong factor in the overall growth of the Czech economy.
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10/22/2024
ČEZ, a partially state-owned Czech energy company, is set to make a major investment in Rolls-Royce's small modular reactor (SMR) division. A deal is expected to be signed soon, Czech Minister of Trade and Industry Lukáš Vlček (Mayors and Independents Party) told Czech Radio. The capital investment is estimated to be in the range of several hundred million British pounds, or billions of Czech crowns. This partnership aims to boost not only the energy sector but also Czech industries such as engineering and electronics. While the government supports the nuclear sector's development, plans for a state-owned gas company are currently on hold due to a lack of funding.
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10/22/2024
Opposition ANO Party maintains steady support ahead of next year's elections, while voters of the governing coalition are increasingly uncertain, shows research by PAQ Research Institute for Czech Radio. Sociologist Michael Škvrňák notes that the government’s support is lower than a year ago, with many voters wavering between parties or considering not voting at all. ANO has successfully mobilized support from non-voters and smaller parties.
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10/22/2024
The Czech Parliament is set to fast-track the approval of emergency aid for people affected by recent floods. MPs will also re-vote on a government bill limiting the use of lay judges in court panels, which was vetoed by President Petr Pavel. The Tuesday session starts with a debate on the agenda, with the flood relief expected to be discussed under a state of legislative emergency, allowing for same-day approval. The bill extends care benefits for parents of children under 10 and offers housing support for those in financial hardship.
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10/21/2024
Members of the Czech Republic's security forces, including police officers and firefighters, will see their salaries increase by CZK 1500 in 2024, according to Interior Minister Vít Rakušan (Mayors and Independents). This raises wage funds by 5% compared to this year. Union representatives, however, are demanding a 6.9% increase, roughly CZK 2200. The government recently approved a similar salary hike for top officials and judges. Rakušan added that salary funds would continue to increase by 5% in both 2026 and 2027, with further negotiations planned in November.
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10/21/2024
The Czech government has so far provided 400 million crowns in aid to households affected by September’s floods, Minister Marian Jurečka (Christian Democrats) announced. Plans for temporary housing support, ranging from 15,000 to 20,000 crowns monthly, are being developed. Finance Minister Zbyněk Stanjura (Civic Democratic Party) estimated state property damages at 25-30 billion crowns and emphasized the lengthy recovery process ahead. The government has allocated 3 billion crowns for flood recovery, including 2 billion for water infrastructure restoration. Support for businesses is also being prepared, with discussions on investment in innovation underway.
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