1st January 2015

Politics: Government priorities in 2014 – Looking back

At the end of the year 2014 government of the Czech Republic issued a short summary that looks back at the year 2014 and at the government priorities that it managed to approve:

1. State budget for 2015 was approved with the deficit of 100 bn CZK that will not exceed 3 % of GDP.
2. Year-on-year growth of funds for state employees’ salaries in the amount of 3,5 %.
3. The amendment to the Law on Pension Insurance.
4. Introduction of second reduced VAT rate for medicine, books and irreplaceable baby food.
5. Extension of the childbirth allowance for broader group of eligible parents and reintroduction of childbirth allowance for second baby.
6. Increase in the minimum monthly wage from 8 500 CZK to 9 200 CZK from effective from 1st January 2015.
7. Stabilizing the Office of Employment by hiring 600 more employees.
8. Cancellation of healthcare charges in hospitals and pharmacies except for emergency cases.
9. Reintroduction of “green diesel” reimbursement at the level of 2013.
10. Act on Investment Incentives was approved enabling and supporting further growth of foreign investments to the Czech Republic.
11. Allocation of 12 bn CZK from European funds to extend the capacity of schools and kindergartens.
12. Amendment that reduces the fee for extraction from agricultural land fund and introduces the exemptions from payment of levies for transportation and industrial construction in industrial zones.
13. Amendment to the Act on Material Poverty defining the term “housing” and changing the calculation of allowance from person-based to habitable area-based preventing doing further business with poverty.
14. Action Plan on Support of Economic Growth and Employment in the Czech Republic was approved.
15. Ombudsman is to have more powers regarding addressing the Constitutional court with the request of abolition of laws and their parts and is to be able to make a public action against discrimination.

For more click here.

Members of the American Chamber of Commerce in the Czech Republic