Czech public debt has been shrinking five years in a row

Published: 27.02.2019 Related countries:  Canada Canada, Czech Republic Czech Republic

Level of public debt of the Czech Republic is among the lowest in the EU

In 2018, the government debt of the Czech Republic declined to 30,5 % of GDP (from 32,3 % of the country’s GDP in 2017). Moreover, the Czech Republic maintains the set trend of stabilisation, or in this case reduction, of its public debt for the fifth consecutive year, thus ranking among the most fiscal responsible EU member states. In terms of the indebtedness of government institutions, the Czech Republic boasts the fourth smallest indebtedness in relative terms within the EU, outperformed only by Estonia, Luxembourg and Bulgaria. This decline in indebtedness is enabled by more effective management of budgetary liquidity as well as utilisation of this disponible liquidity for needs of state financing, stable economic growth, but also responsible budgetary policy demonstrated by the attained budgetary surplus of 2.9 billion CZK last year.

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Source: Ministry of Finance of the Czech Republic