The state budget reached a deficit of CZK 66.4bn last year, which is a significantly better result than the approved CZK -91.8bn. 2007 income reached CZK 1,026bn with expenses coming in at CZK 1,092bn. This is not a surprise, because of the better balance indicated by the monthly data that was announced during the course of the year. The higher 2007 income figure was brought about by the faster economic growth, which surpassed the Ministry’s projections. The current Ministry estimate for the 2007 deficit is equal to 1.9% of GDP. This number is much lower than the previously projected 3.4%.
According to Minister Kalousek, this year’s deficit will also be lower than the planned CZK -70.8bn, with a public deficit reaching 2.95% of GDP.