Czech govt sets 2008 public deficit target at 2.95 pct of GDP

Sep 3, 2007 - The 2008 proposal of the Czech state budget sets the public budget deficit target below 3 pct, and proposes gradual cuts to the deficit to 2010, the finance ministry said today.

In 2008 the deficit should reach 2.95 pct of gross domestic product (GDP), while in 2009 it should fall to 2.6 pct and in 2010 it should be at 2.3 pct, the ministry said.

The income of the 2008 state budget should reach 1,036.5 bln crowns, which is a 9.2 pct rise compared with 2007.

The budget expenditures are proposed at 1,107.3 bln crowns in 2008, up by 6.4 pct year on year.

The state debt is expected to reach 990.1 bln crowns at the end of 2008 or 26.1 pct of GDP, compared with 905.3 bln crowns, or 25.7 pct of GDP, expected in 2007.