Babiš: Major targets must be met before consolidation of public finances possible

The consolidation of public finances will only be possible once the Czech Republic boasts first-class hospitals, a completed transport network and high salaries for soldiers and police officers, says Prime Minister Andrej Babiš. He made the comment on Nova TV on Saturday.

Following negotiations with cabinet colleagues this week, Finance Minister Alena Schillerová said she expected the state budget deficit to widen next year compared with this year’s planned CZK 310 billion.

However, Mr. Babiš rejected the notion that the rising debt posed a problem for the Czech Republic. According to the latest forecast from the Ministry of Finance, the country’s debt is set to rise this year to 45.8 per cent of gross domestic product from last year’s 44.2 per cent. However, the Czech Republic will continue to rank among the less indebted countries in the European Union.