New government says spending cuts will save billions

The candidate for minister of finance in the nascent Czech government, Zbyňek Stanjura, says that spending cuts will reduce the state budget deficit CZK 80 billion, Czech Television reported. Petr Fiala’s new government plans a major overhaul of the state finances without also increasing revenues, a move recommended this week by the National Budget Council, an independent body.

Mr. Stanjura told Czech TV that the state was overly bureaucratic, big and costly. He said it was where the government’s focus would be and where savings would be found.

The new government says it will present its economic plans in more details after taking office.