One of the longest running legal battles in Czech history has just taken a new turn with the possible bill for the state escalating substantially. The company Diag Human is now taking a new tack in its battle for damages and is reportedly seeking at least a billion US dollars. Prague is hiring big legal guns in the US in its defence.
Over a thousand new apartments are to be built on a former industrial site
in the Prague district of Vysočany, E15 reported on Monday. Factory halls
of the collapsed firm ČKD DIZ are to be demolished to make way for the
construction project, which is the biggest yet from billionaire developer
Milan Šrejber and his Pankrác development company, the newspaper said.
A representative of the firm said the flats would be built in five or six stages. The apartment complex, named Vivus Kolbenova, will cost over CZK 3 billion.
The Czech central bank on Friday raised its forecast for the 2018 public
sector surplus to 1.6 percent of gross domestic product (GDP) from an
earlier estimate of 1.4 percent. The bank improved its outlook for the 2019
surplus to 1.8 percent from a previous forecast of 1.5 percent.
The bank increased its expectation for 2017 public debt to 34.7 percent of GDP from 33.8 percent. In 2019, the debt level should drop further to 29.8 percent of GDP.
The Czech National Bank announced Thursday that it had increased its basic
interest rate by 0.25 percentage points to 0.75 percent.
The move had been widely expected with the crown strengthening ahead of the announcement. It moved to its highest level against the euro since the so-called low crown policy was ended last year before retreating slightly.
The board already decided twice last year to raise interest rates by the same margin, the last decision coming at the start of November.
Bank governor Jiří Rusnok has indicated in the past that a series of gradual interest rate rises can be expected as inflation picks up in the country and economic growth remains strong.
Tax freedom day in the Czech Republic will fall on June 23, that’s the
latest it has ever been according to the calculations of consulting company
The calculation means that citizens will in effect work 174 to cover tax payments before they can start to earn for themselves. Last year, tax freedom day fell one day earlier on June 22. Tax freedom day with this year fall earlier in Poland and Slovakia but later in Hungary.
The average price of new apartments in Prague grew by 19 percent year on
year in 2017, according to a study produced by the property development
companies Trigema, Skanska Reality and Central Group. The number of new
flats sold last year declined by 17 percent, the report found.
The volume of new properties on the market in the capital last year was half the figure for mid-2015.
Critics say excessive red tape is preventing the construction of sufficient numbers of new apartments, creating a bottleneck and pushing up prices.