News

Spotlight issue

29th March 2019 / Economic policy / Trade and Investment


AmCham EU: The Transatlantic Economy 2019: Czech-U.S. Trade Profile

America's investment base in the Czech Republic is small but has risen by one-third over the past ten years to $5.4 billion in 2017. This is down from a peak of $6.4 billion in 2013, but still is significantly larger than investment by Czech Republic firms in the U.S., says the 2019 edition of the Transatlantic Economy report published by the AmCham EU and U.S. Chamber of Commerce in cooperation with The Johns Hopkins University, School of Advanced International Studies.

28th March 2019 / Good governance / Employment and Social Affairs


The employment of foreigners from the vantage point of applied law

The employment of foreigners on the Czech market is a hotly debated topic these days. According to an analysis by the Prague Institute of Planning and Development from October last year, on average, at least every tenth economically active person in the Czech Republic is a foreigner; in Prague, the ratio is in fact one in five.

28th March 2019 / Competitiveness / Energy and Environment


Grayling CZ: A bumpy ride for the electric future

The transport sector has been on the receiving end of environmental wrath for quite some time now, having been responsible for over 25% of CO2 emissions in the EU alone. To tackle this, the sector is becoming more and more electric, Grayling's Tereza Haklová writes.

28th March 2019 / Politics / Elections


The Future of Prague Series with Pirate Party Representatives

Amcham hosted another roundtable with Prague City Hall representatives on transportation and affordable housing in Prague. Today we met the ´mayor´s men´, representatives of Pirate party Viktor Mahrik and Vít Šimral. 

26th March 2019 / Economic policy / Tax & Finance


New mortgage limits in the Czech Republic

Recommendations of the Czech National Bank

The continuing increase in the number of bank loans provided in the Czech Republic has drawn the attention of the Czech National Bank (CNB), the regulatory body obliged to maintain and support financial stability. The CNB has therefore published a number of recommended industry guidelines regarding mortgage lending conditions.

In particular, lending limits have been suggested relating to loan-to-value ratios (LTV); debt-to-income ratios (DTI); and debt service-to-income ratios (DSTI). In the opinion of the CNB, these limits need to be observed in order to minimise risks connected with the growing economic market.

In 2015, CNB issued its first recommendation on managing the risks associated with providing retail secured residential property loans. This was aimed at preventing risks associated with the residential property market by setting LTV limits. In 2016 and 2017, the CNB continued to tighten LTV limits; DTI and DSTI levels were also introduced.

Strategic Directions for Czech Economic Policy

  1. 1) The home of value-added manufacturing
  2. 2) Prague-Brno-Ostrava Creative Triangle
  3. 3) Health Care as an export industry
  4. 4) Government as a competitive advantage

Advocacy Priorities for 2018-2020 
 
People 

1. Setting a predictable policy for economic immigration based on the goal of maintaining current levels of employment for Czech citizens and wage growth that corresponds to productivity growth.  

2. Establishing incentives for companies and individuals to provide the qualifications and skills necessary for the automation of production and service industries.  

3. Introducing machine and computer programming as a required language in elementary and high schools.  

4. Improving the Healthy Life Years of the workforce and overall population through better prevention programs, better diagnostics, and better treatment.  
 
Infrastructure 

1. Develop a plan for developing and maintaining an integrated rail, road and air commercial logistics systems.  

2. Integrate the Prague airport into the national commuter network.  

3. Increase digital infrastructure capacity throughout country. 

4. Develop a housing plan that will create more entry-level housing in Prague and Brno for purchase or rent.  
 
Technology 

1. Reform investment incentives to concentrate on product research, development and production.  

2. Establish policy objectives in the area of health, energy, transport, environment and other areas and use these objectives for allocating public research funds. 

3. Require major public procurements to use objective and measurable criteria for innovation. 

 

Read the document in English and Czech.

Policy pipeline

In Policy Pipeline policy developments in the Czech Republic and abroad are monitored to bring better understanding of current topics and trends.

Members of the American Chamber of Commerce in the Czech Republic