PM Fiala: Czechia can become one of the most advanced countries in the world

The Czech prime minister focused on six specific areas in which Czechia has large potential to develop.


Written by ČTK Published on 01.09.2023 16:29:00 (updated on 01.09.2023) Reading time: 2 minutes

At the "Czech Republic at the Crossroads" conference this afternoon, Prime Minister Petr Fiala highlighted six specific areas with large potential to shape the future of Czechia, which he presented as part of a strategy called Restart Czechia (Restart Česka). These areas, which he believes should be the focus of strategic investments, include transport, energy infrastructure, nuclear energy, lithium production, semiconductor manufacturing (chips), and IT trends.

Building up transport and energy infrastructure

Fiala stressed the urgent need for the completion of Czechia's transport infrastructure and a significant strengthening of the nation's energy sector. He pointed out that a crucial issue faced by Czechia is the absence of a comprehensive, long-term societal consensus on the country's primary priorities.

Fiala also indicated that two vital discussions are expected in the coming weeks and months within the Strategic Investment Committee. One will revolve around legislative changes to facilitate the construction of transport, energy, and network infrastructure. Fiala expressed hope that these proposals would be approved by parliament in the first half of the following year.

"I am convinced that the Czech Republic can once again become one of the most advanced countries in the world if it can make full use of its geographic location, economic potential, and human resources in the years to come, becoming a true major crossroads of Europe."

Prime Minister Petr Fiala

The other discussion will address the concrete financing of strategic projects, which Fiala acknowledged would involve substantial investments, potentially reaching thousands of billions of Czech crowns in the next few years. He suggested separating the long-term budget for strategic investments from the state's current operational management while maintaining the government's efforts to ensure healthy state finances.

Fiala emphasized that these investments should not be seen as subsidies and must guarantee economic returns. He proposed financing these projects through a combination of public and private sector funds or increased involvement of the National Development Bank.

Importance of funding and investment

Fiala recognized that the current economic structure poses challenges, hindering wage growth and competitiveness against foreign concerns. He urged a careful examination of how funds are allocated in areas like health, transport, and education, emphasizing the importance of efficient spending.

One of the critical sectors for strategic investments, according to Fiala, is energy, which he believes has been neglected in the past. He cited the cancellation of nuclear tenders by previous governments as a significant setback, potentially leading to an energy shortfall of around 10 terawatt-hours within a decade.

Additionally, Fiala underscored the importance of modernizing transport infrastructure, particularly in regions like Karlovy Vary and South Bohemia, to unlock their tourism potential.

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