Pavel signs 2026 state budget despite defence spending reservations

Czech President Petr Pavel has signed this year’s state budget, which envisages a deficit of CZK 310 billion. When the relevant law appears on the statute books this will bring to an end a provisional budget that has been operating since the start of this year.

The head of state has in the past criticised the fact that the budget for 2026 will see a cut in spending on defence, a stance echoed by Czechia’s fellow NATO member the United States. The ANO-led Czech government argues that the state has different spending priorities.