Janota: prime minister will meet heads of two main political parties to discuss record budget deficit

25-08-2009

Finance Minister Eduard Janota has said that his proposals to lower next year’s budget deficit will be finished by Thursday, and that, upon their completion, Prime Minister Jan Fischer will meet the heads of this country’s two main political parties to talk them through. In an interview with Reuters on Tuesday, Mr Janota added that the meeting would show whether the heads of the two biggest Czech parties – the Social Democrats and the Civic Democrats – really were committed to lowering the budget deficit. Mr Janota has drafted a budget for 2010 with a record deficit of 230 billion crowns (nearly 13 billion USD), which amounts to nearly seven percent of GDP. The finance minister has also been working on proposals to amend the law which would bring the deficit down by 70 billion crowns (nearly 4 billion USD). Mr Janota has warned of dire consequences for the country if next year’s budget deficit is not reduced.