The Prague Post
October 12th, 2008
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TRADE - The trade balance reached a surplus of 1.7 billion Kč ($70.9 million) in November 2005, increasing 1.4 billion Kč from the same period in 2004, according to data released by the Czech Statistical Office Jan. 5. Analysts had predicted a surplus of 3 billion Kč. Exports increased 7.8 percent and imports increased 7 percent.

SME - The number of small businesses operating in this country has been falling steadily since 2003, decreasing by 81,000 to 917,200 last year, Lidové noviny reported Jan. 9, citing data from the Czech Social Insurance Administration. David Marek of Patria Finance attributed the trend in part to the fact that small businesses are often passed over for investment incentives, which usually go to larger companies.

TAXES - Finance Minister Bohuslav Sobotka said Jan. 8 that he is against significant tax cuts in the next five years but would like to see a change to the country's tax structure. He said the Social Democrats would like to simplify corporate and income taxes and create a stable tax quota. The latter is necessary for the party to realize its priorities, including adopting the euro. he said.

DEBT - Vlastimíl Tlustý, head of the supervisory board at state bailout agency Česká konsolidační agentura, is against the government's plan to transfer the debts of the Setuza food company to the Supporting and Guarantee Agricultural and Forestry Fund, Hospodářské noviny reported Jan. 9. Tlustý said Setuza should offer the claim, worth 4.1 billion Kč, in a public tender.

REVENUE - The regions outside of Prague will receive an extra 1 billion Kč in tax revenue for 2005, according to the Finance Ministry. The regions collected more taxes than expected, taking in more than 43 billion Kč, said Jaroslav Růžek, a spokesman for the ministry.

INFLATION - Last December was the first in seven years to see a slowdown of inflation. Inflation dropped on lower gasoline prices, sales in retail shops and a moderate increase in food prices, according to analysts. They expect inflation to increase to as much as 3 percent in January, following deregulation of some energy prices.


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