The state budget reached a deficit of CZK 3.4bn in January as revenues amounted to CZK 52.24bn while expenditures totaled CZK 55.66bn.
The Czech Republic should pay for 24 Grippen fighter jets for the Czech Airforce with money raised in the privatization process, the defense minister, Jaroslav Tvrdik said on Friday. Taking a loan to finance the planes would cost the country CZK 17bn more due to interest repayments, Tvrdik said.
The leader of the opposition Four-Party Coalition, Karel Kuhnl, has resigned. Members of the opposition Four-Party Coalition said the political alliance was dead, as several months of bitter in-fighting culminated in collapse.
Consumer prices in the eurozone rose 2.5% from a year ago, in line with expectations, after rising 2.1 percent in December. Europe's inflation rate rose in January for the first time in eight months, triggered by higher food prices, tax increases and the rounding up of prices after the arrival of euro cash.
The U.S. unemployment rate unexpectedly fell to 5.6% in January from 5.8% in December and the economy lost the fewest jobs in five months, signs the recession may be close to an end.
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