TNBiz (TNBiz)
Markets  |  October 28, 2012 14:13:46

Ministry reduces economic growth forecast for next year to 0.7 percent of GDP


PRAGUE (MEDIAFAX) - The Czech economy could increase next year by 0.7 percent of GDP. The latest estimate, which is now working with the Ministry of Finance, and 0.3 percentage points lower than in July, said on Sunday 1 Deputy Finance Minister Ladislav Minčič.

"Probably the growth for next year will be about three tenths of a percentage point lower than what was in the draft state budget," he said on Czech Television Minčič, who pointed out that the Ministry has not issued a new prediction and still be updated. So far so true official July data that allow for growth by one percentage point.

Change in GDP growth will affect the state budget, which must Ministry parliamentary proposal to his boss Miroslav Kalousek (TOP 09), rebuilt. The new proposal, which must submit to the Minister not later than 23 MembersNovember, already counts with the resort finance tax laws. For example, a unified value-added tax to 17.5 percent. Changing economic growth by 0.3 percentage point can affect budget revenues by billions of crowns.

As the minister said many times, the new draft state budget for 2013 will be 100miliardový deficit, as well as old. Unless count package consolidation, revenue fall by up to 25 billion, will be cut the same size so will the Minister make in spending.

Jan Drahorád, drahorad@mediafax.cz

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Ministerstvo sníží predikci růstu ekonomiky v příštím roce na 0,7 procenta HDP

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