Argentinean government introduced a plan for the recovery of the country. It plans lower state budget expenditures and floating exchange rate of the peso. The government also plans that banks will give depositors 1.40 peso for each dollar but will receive one peso for each dollar in loan repayments.
Vaclav Klaus, ODS chairman, revealed his opinion about pension system reform yesterday. According to him, young people's contribution to the current pension system should be lower that should enable to them to create their own savings. The reform should not affect current pensioners. A problem is that revenues of the current pension system would be lower while expenditures can be the same or even increase under unfavorable demographic conditions.
The government will open exclusive talks with ISPAT International of India on its entry into Nova hut NH. Government will continue financing of Vitkovice Steel via Osinek, a subsidiary of the National Property Fund. The plan costs could reach up to CZK 7bn.
U.S. President Bush on Monday proposed bringing back deficits and curbing domestic spending to pay for the biggest military buildup in two decades to thwart attacks like those of Sept. 11. The overall budget expenditures should increase by 3.7% to USD 2.13 trillion.
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