Windfall Tax Helps Narrow Czech Budget Deficit for Fourth Month

The Czech Republic’s budget deficit narrowed for a fourth consecutive month as windfall-tax payments from selected industries boosted revenue, easing pressure on the government to cut spending.

A surplus in September trimmed the cumulative shortfall so far this year to 180.7 billion koruna ($7.8 billion), less than the 270.9 billion-koruna gap for the same nine-month period of 2022, Finance Ministry data showed on Friday.

Prime Minister Petr Fiala’s administration is trying to deliver on its key election promise to curb pandemic-era borrowing. But rising expenditure on energy subsidies, aid to Ukrainian refugees and higher pensions have threatened the ...