News

Spotlight issue

17th March 2020 / Good governance / Legal Reform and Transparency


Restructuring & Insolvency Issues You May Face (Czech Republic)

With respect to the dynamic course of events regarding the coronavirus disease 2019 (COVID-19) – commonly known as the “coronavirus” – we address the threat of insolvency and related liability of the statutory bodies (Directors), and provide a list of practical mitigating steps.

17th March 2020 / Competitiveness / Business and Industry


What to Know About Coronavirus — COVID-19 Explained

What is Coronavirus?

Coronaviruses are a large family of viruses that may cause respiratory illnesses in humans ranging from common colds to more severe conditions such as Severe Acute Respiratory Syndrome (SARS) and Middle Eastern Respiratory Syndrome (MERS).1

'Novel coronavirus' is a new, previously unidentified strain of coronavirus. The novel coronavirus involved in the current outbreak has been named SARS-CoV-2 by the World Health Organization (WHO). 3The disease it causes has been named “coronavirus disease 2019” (or “COVID-19”). 1,2

17th March 2020 / Competitiveness / Macroeconomic Indicators, Economic Growth


CNB unexpectedly cuts interest rates

The Czech National Bank unexpectedly cut interest rates by 50bp at today’s meeting, with all seven board members voting in favour of the cut. We expect the key rate to remain unchanged for the rest of the year. However, the door remains open to other instruments. The governor admitted that the central bank is ready to react to any excessive fluctuations in the koruna. Although the CNB currently perceives no shortage of liquidity in the banking system, the board also, as a preventive measure, softened the rules of governing liquidity-providing operations.

17th March 2020 / Competitiveness / Macroeconomic Indicators, Economic Growth


CNB cuts and is ready to intervene EUR/CZK heading to 28.00

The CNB delivered a 50bp emergency rate cut today. This makes the already under pressure CZK more vulnerable as the its key anchor (the yield advantage) is now being taken away. CNB FX interventions are now a question of when rather than if. Should CZK see another abrupt move lower, we expect the CNB to step in around the 28.00 level (the first pain threshold level, in our view). This could happen this week. Yet this will not be a firm ceiling on EUR/CZK, with intervention having a smoothing rather than firming function. This means the EUR/CZK could trade meaningfully above 28.00 should global risk assets remain under pressure.

16th March 2020 / Good governance / Legal Reform and Transparency


Břiza & Trubač: Can coronavirus be a legitimate reason for non-performance of contractual obligations?

On Wednesday, March 4, 2020, the article on the recently discussed subject of coronavirus, written by Petr Bříza, was published on the epravo.cz webpage.

Strategic Directions for Czech Economic Policy

  1. 1) Transition to High-Tech Manufacturing
  2. 2) The City Campus as Idea Factory
  3. 3) Government Programs That Drive Innovation
  4. 4) Government as a Competitive Advantage

Advocacy Priorities for 2020-2022 
 
People, Technology, Infrastructure, Cities, Government

 

2020 Actions Recommended in Areas:

1. Immigration.

2. Adult (post-graduate) Education and Training.

3. Programming as the Required Language.

4. Private Research Investment.

5. Housing Plan.

6. Establishing Policy Objectives for Research.

7. Establishing Databases for Tracking Public Policy Outcomes.

8. Public Procurement as an Innovation Tool.

9. A Government Competitiveness Scorecard.

 

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