Czech finance minister seeks to keep 2022 budget deficit below $14.1 billion

PRAGUE (Reuters) – Czech Finance Minister Zbynek Stanjura mentioned on Sunday he needed to hold the 2022 point out deficit from mounting above 330 billion crowns ($14.1 billion) in a funds modification being labored up to get in the impression of war in Ukraine and soaring rates.

The war in Ukraine has led to a downturn in expansion in the central European state, as perfectly as extra shelling out on defence and help for hundreds of 1000’s of refugees. Fast-growing energy charges are also pushing the governing administration to seeks strategies to assist households and corporations, costing tens of billions.

Stanjura is set to put ahead an amended spending budget following month that he has already mentioned would press the deficit higher than 300 billion crowns, from a planned 280 billion crown hole.

Questioned on Czech Television’s Sunday discussion show no matter if a budget gap of close to 330 billion was probably, Stanjura reported: “I will consider so that the deficit will be as very low as it can be, and that it will be down below 330 billion.”

Just after using electric power in December, the centre-appropriate authorities pledged to cut deficits fuelled by pandemic spending and wage and pension hikes by the former administration.

The deficit strike a history 420 billion crowns in 2021, pushing the general fiscal hole to 5.9% of gross domestic solution, practically 2 times the European Union-mandated ceiling of 3%.

Stanjura told Reuters this thirty day period he aimed to hold the 2023 spending budget deficit target under this year’s unique prepare and carry the fiscal gap inside of EU limitations by 2024.

($1 = 23.4240 Czech crowns)

(Reporting by Jason Hovet Editing by Emelia Sithole-Matarise)