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Czech government targets 2027 deficit of 389 billion crowns

Finance Minister Alena Schillerova said the 2027 central government budget will run a 389 billion‑crown deficit, up from 310 billion crowns planned for this year, while meeting NATO's 2% defence spending floor.

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Elena Kovač · Central Banks Desk · 31 Aug 2026 · 12:33 · 1 min read
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Czech government targets 2027 deficit of 389 billion crowns

The Czech Finance Ministry announced on Monday that the central government budget for 2027 will record a deficit of 389 billion crowns (about $18.71 billion), an increase from the 310 billion crowns slated for the current fiscal year.

Defense spending is set at 2.0% of gross domestic product, satisfying NATO's minimum requirement. Public‑sector wages are projected to rise between 5% and 9% under the plan.

The proposal also earmarks higher outlays for investment, health care and infrastructure, with additional funds directed to road and rail projects. Finance Minister Alena Schillerova indicated that the government intends to bring public‑sector deficits down in the years following 2027.

This article was produced with AI assistance and edited by a Finance Review Daily journalist.
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Written by
Elena Kovač
Central Banks Desk

Elena covers macroeconomic data and policy across the eurozone, translating industrial output, inflation and growth figures into what they mean for markets.

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