Czech Ministry of Finance to release half-year state budget results

Today, the Ministry of Finance will release the half-year results of the state budget. Last June, the state finances closed with a deficit of CZK 215.4 billion. As of the end of May this year, the budget deficit stood at CZK 210.4 billion, marking the third largest deficit in the country’s history.

For the first five months of this year, budget revenues increased by 9.1 percent compared to the same period last year, totaling CZK 721.1 billion. Expenditures, on the other hand, slightly decreased by 0.1 percent year-on-year, amounting to CZK 931.5 billion by the end of May.

The state is projected to manage revenues of CZK 1.94 trillion and expenditures of CZK 2.19 trillion this year, with a planned deficit of CZK 252 billion. Analysts, responding to the May data, expect the planned deficit to be met but caution about the risk of lower-than-expected tax collections.

Last year’s budget closed with a deficit of CZK 288.5 billion, which, despite being the best result since the onset of the COVID-19 pandemic, still represents the fourth largest deficit in the history of the Czech Republic.