PM calls for greater fiscal discipline

Caretaker Prime Minister Jan Fisher has called for greater fiscal discipline, stressing the need to keep next year’s budget deficit under 5.3 percent of Gross Domestic Product. Speaking on a panel debate on Czech television, the prime minister strongly criticized the efforts of left-wing parties to dismantle the cost-cutting measures proposed by the cabinet. After pushing through proposals for increased spending in the public and agriculture sectors, the Social Democrats are now planning to fight for higher illness subsidies, maternity benefits and a so-called 13th salary, an annual Christmas bonus in the public sector.

Social Democrat leader Jiří Paroubek has suggested politicians lower the deficit in other ways such as cutting back on unnecessary trips abroad and reviewing the high bonuses paid to the managers of state-owned companies. The right-wing Civic Democrats have urged the cabinet to fight for its austerity measures.