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National Recovery Plan approved, concerns about financial irregularities remain

National Recovery Plan approved, concerns about financial irregularities remain
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Ministry foresees 3.1 percent growth this year, more in 2022


Illustrative photo: Oleg Magni, Pexels
In a new prognosis the Czech Ministry of Finance says it expects economic growth of 3.1 percent this year. At the same time officials say that the budget deficit will reach 8.8 percent of gross domestic product in 2021.
Last year the Czech economy was rocked by the coronavirus crisis and shrank by 5.6 percent.
While the Ministry of Finance predicts a 3.1 percent expansion in 2021, others are less optimistic. The Czech National Bank issued an estimate of 2.2 percent growth this year, while the Czech Banking Association has forecast 2.6 percent.
In a paper issued this week, the ministry said it expected that gradual vaccination against Covid-19 would improve the situation surrounding the virus, supporting an economic revival both at home and abroad. ....

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MPs, gov't look to extend benefits during pandemic for bankrupt entrepreneurs, taxi drivers, foster parents


Photo: Tobias Heine/Pixabay, CC0
Bankrupt entrepreneurs may be able to draw a so-called compensation bonus of 500 crowns per day, retroactively, if their businesses were impacted by the Covid-19 pandemic, according to an amendment approved by MPs and government proposals. 
The proposed change applies to only natural persons – entrepreneurs in bankruptcy. According to Minister of Finance Alena Schillerová (for ANO), extending the range of beneficiaries was made possible by the preliminary consent of the European Commission, which had previously rejected such a measure.
The Ministry of Finance has previously stated that it wants bankrupt entrepreneurs to be able to draw on all assistance programs against the effects of the pandemic. If signed into law, as expected, persons in bankruptcy will be able to apply for the allowance within two months of its entry into force. ....

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