Finance Ministry: January saw first budget deficit since 2003


The Czech government budget found itself in a deficit of CZK 8.8 billion in January, data released by the Ministry of Finance shows. It is the first time that the country has had a January budget deficit since 2003, the Czech News Agency reports.

According to the Finance Ministry, increased funding for the State Transport infrastructure Fund, higher pensions, teacher salaries and EU budget contributions are among the reasons behind the red numbers. Chief economist at investment firm Czech Fund Lukáš Kovanda told Czech Television that the slowdown in the Czech economy, unforeseen by the government, plays a role as well.