As of 31 March 2001, the Czech Republic’s external debt totaled CZK 829.9 billion (EUR 24.1 billion), i.e. about 43% of GDP. The external debt was CZK 21.3 billion higher than at the end of 2000 and CZK 39.7 billion higher than a year earlier. The corporate sector accounts for most of the external debt (55% of the total). Commercial banks, the second important recipient of foreign funds, primarily hold short-term deposits received from foreign banks and clients.
Czech Telecoms Bureau (CTU) head David Stadnik said that the country's three current GSM mobile operators will be offered third generation UMTS licenses for CZK 6.7 bn.
Oil prices rose on Monday as weekend comments from the OPEC producers' cartel signaled no increase to output for now despite the absence of Iraqi crude exports on the world market. U.S. benchmark light crude (WTI) futures advanced 35 cents to USD 26.60 per barrel bringing gains since last Thursday to more than USD 1 a barrel.
Profit taking and closing positions in thin trading knocked the Czech koruna down from a day's high of 33.75 to the euro on Friday. Late on Friday it was trading at 33.86 from the morning's 33.78 and 33.82 late Thursday. The CZK/USD fell to 40.00 from 39.92 in the morning and from 39.85 late Thursday.
Czech bonds fell, pushing yields up from three-week lows, after the 11.4% annual growth of money supply (M2) in May raised concerns economic expansion may cause a pickup in inflation. The benchmark 6.4 percent bond due in 2010 fell 0.4 point to 98.15, pushing the yield from a three-week low up 6 basis points to 6.68 percent. The 15-year bond, first sold in January, fell 0.55 point to 100.05, driving its yield up 6 basis points from a three-week low to 6.94 percent.
(David Marek)