Ministry of Finance and IMF predict modest economic growth in 2010

Czech Minister of Finance Eduard Janota on Monday predicted economic growth this year of 1.3 percent. The prediction came out on the same day as the International Monetary Fund released its report into the overall state of the Czech economy. This includes a forecast of 1.5 percent growth this year following on from the estimated 4.25 percent decline in 2009. The IMF report, while generally upbeat, warns that a government following elections to the lower house in May will have to take bold steps to counter the mounting budget deficit and push through steps to reform the health and pensions systems. Hesitation in taking steps to deal with the deficit could spark a crisis in international confidence in the economy which has held up so far, the head of the IMF delegation warned.

Author: Chris Johnstone