Finance Minister says draft state budget has president's approval

Finance Minister Andrej Babiš met for roughly four hours with President Zeman at Lány Chateau on Saturday to discuss his state budget proposal for 2016. After their meeting, the finance minister told journalists the draft budget had Mr Zeman's support. The president had called on Mr Babiš not to bow to pressure to increase the deficit. This year, the deficit is estimated at 100 billion crowns and next year should not surpass 70 billion. But government ministries have asked for 38 billion crowns more than is available in the current proposal. The opposition Civic Democrats have criticized the state budget proposal for relying on a deficit during a period of economic growth; party leader Petr Fiala critised the centre-left government for raising benefits and salaries for civil servants, saying that his party would instead have tried to lower the deficit as well as to reduce taxes.

Author: Jan Velinger