Poland and the Czech Republic seem to be heading in different directions over the euro.
The Czech Republic has long been one of the region’s greatest sceptics on joining the common currency, preferring to hang on to the koruna and enjoy a reputation for fiscal and monetary probity at least equal to that of the EU and the European Central Bank.
Czech governments have for years refused to set a firm date for entry. But now Milos Zeman, the country’s new centre-left president, said in a German press interview that his country could be in the euro by 2018 – a marked departure from the eurosceptic views of his predecessor Vaclav Klaus, who famously even refused to fly the EU’s blue banner over his residence. Continue reading »
What does Milos Zeman mean for business?
The Czech president-elect does not have much direct power over his country’s economic policy – except for nominating members of the Czech National bank responsible for setting interest rates (the first seat there comes free only in 2014) – but his victory in last weekend’s elections does have implications for business. Continue reading »
By Nicholas Watson of bne
The Czech coalition government managed to see off a confidence vote in parliament on Wednesday evening, but a perfect storm of sleaze, voter unpopularity, political infighting and a weak economy promises to make the remainder of its term in office a struggle.
The three-party, centre-right coalition held ranks long enough to defeat a parliamentary no-confidence motion, its fourth in less than two years, called by the opposition Social Democrats. The opposition required 101 votes in the 200-seat lower house to topple the government, but managed only 89. Continue reading »
The centre-right Czech government has no intention of letting up on its fiscal tightening programme, a senior minister tells beyondbrics after several weeks of turmoil caused by the disintegration of one of the parties in the coalition and a vote of confidence set for later on Friday night.
The government of premier Petr Necas looks set to gain a narrow majority in the 200-member parliament after the smallest coalition member – Public Affairs – formed a breakaway grouping with enough votes to allow the two year old government to continue functioning. Continue reading »