Czech PM sees limited fiscal reform impact on CPI

...inflation, Prime Minister Minister Mirek Topolanek said in a live radio broadcast.

"Inflation will rise slightly as a result, but we expect that the rise would be no more than (something) between 0.7 and 1.0 percentage points," he told Czech Radio, adding that part of that rise would come also from liberalisation of power prices.

The government released a package of tax changes and social spending cuts aimed at cutting the fiscal deficit to 3.0 percent of gross domestic product next year and 2.3 percent in 2010 from 4 percent expected this year.