Czech Republic: Economic Overview

Global Finance, January 1997 | Go to article overview

Czech Republic: Economic Overview


ECONOMIC OVERVIEW

The Czech Republic is considered by many analysts to be the most economically advanced and politically stable of the emerging European countries. Still, the government faces the challenge of reducing its high inflation rate, relative to the European Union, while maintaining a satisfactory pace of industrial and social reforms. With unemployment at a low level of around 3%-one of the lowest in Europe-the government seems to be successfully balancing the divergent demands of job creation and fiscal austerity.

FOREIGN INVESTMENT CLIMATE

Cumulative foreign direct investment in the Czech Republic since the first free elections in 1990 is close to $6 billion. Continued privatization is expected to raise that figure substantially with sales or concessions of assets in the steel, electric utilities, telecommunications, and financial sectors.The government's National Property Fund still holds large minority stakes in many major Czech enterprises, which represent nearly a third of the GDP.

Among recent project finance concessions awarded in the energy sector is the estimated $350 million modernization of the coal-fired power facility at Kladno, which include foreign investors and a loan from the World Bank's private sector arm, the International Finance Corporation. A large internationally financed project still being considered is the estimated $20 billion intermodal transportation complex surrounding the former Milovice military base, which would include rail connections and commercial airport facilities. One element of the government plan to modernize the national transportation system includes the proposed $3.5 billion modernization of the Czech section of the Berlin-PragueVienna rail line. Similarly, modernization of the Prague airport is under way, and there are plans to revamp the airports at Karlovy Vary, Liberec, and Ostrava.

BANKING SYSTEM

The sale of a number of state-owned banks is a key element of the Czech Republic's plan for reducing state participation in the national economy.The sales of banks, however, are not expected to begin until mid1997.While the Central Bank has lifted its ban on new banking licenses, imposed following the collapse of several small banks in 1994, it has indicated that new licenses will be issued on a highly selective basis. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Czech Republic: Economic Overview
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.