The Government approved the adjusted version of the state budget for year 2013. The Government expects a deficit of 2.9 per cent of the GDP (the absolute value of less than CZK 100 billion). The Ministry of Finance has proposed an adjustment of the budget because of the deteriorate outlook of the macroeconomic position of the Czech Republic. As the economic situation has gotten worse, the Government also announced a decrease in pace for balancing the budget in next two years. According to coalition talks, the Government should also introduce measures to be adopted to boost the economy.
The Bill on State Budget 2013 is heading to the Chamber of Deputies. The Chamber of Deputies should discuss the Bill on 28 November in the first reading.
For further information regarding the budget proposal, click here.
The President of the Czech Republic has announced that he would not veto the Act on Church Compensation; therefore, the Act should come into force on 1 January, 2013. According to the Act, churches would be granted the nationalized property after 1948 of more than CZK 75 billion and financial compensation of CZK 59 billions. The Government should pay the compensation according to the schedule of installments in next 30 years. The aim of the Act is to divide the church funding off the state budget.
For further information, click here (sites of the Government).