On 9 May, the Government passed a governmental directive that regulates public support and incentives in cohesion regions of the Czech Republic proposed by the Ministry of Trade and Industry. The directive is based on the Act on Invest Incentives (Zákon o investičních pobídkách) that was passed by the Chamber of Deputies on 21 March; the Act will come into force after the President’s signature (put forward on 3 May). According to the Act, the governmental directive is necessary for further process of granting public incentives in the cohesion regions. The directive stipulates a degree of the public support with respect to the value of investment projects (up to 75 per cent of the value of the respective project). In addition, the directive expands an array of projects that could be supported. An additional aim of the directive is to attract ´high-tech´ and high value-added projects to the regions; the ´high-tech´ projects are even supported by higher degree of incentive. High-tech and higher valued added projects are evaluated according to the OECD classification.
For further information regarding the directive, click here (source: explanatory report).
For further information regarding the Act on Invest Incentives including the term of coming into force, click here.