Politics & Economics

EU’s Russian Gas Imports Surge 18% in 2024 – Czechia Among Key Contributors

A new report by the energy think tank Ember finds that imports of Russian gas to the EU surged by 18% in 2024. Despite plans to phase out Russian energy by 2027, increased imports into Italy, the Czech Republic, and France drove the rise. Although demand did not grow, imports increased. Moreover, the EU plans to enhance its liquefied natural gas (LNG) import capacity by 54%, with member states seeking alternative gas suppliers. According to the think tank, this expansion occurs despite stable demand until 2030. Analysts warn that such expansion could result in overcapacity, with fossil gas supply expected to surpass demand by 26% in 2030. “This level of overinvestment, amounting to 131 billion cubic meters, matches the combined annual gas consumption of Germany, France, and Poland,” reads the press release. “It is a scandal that the EU is still importing Russian gas,” said Ember analyst Dr Pawel Czyzak. “Instead of investing in true alternatives like renewables and efficiency to cut off Russian imports, Member States are burning money with expensive LNG capacity that won’t even be used.” The analysis reveals that after years of price volatility driven by the war in Ukraine, gas prices surged by 59% in...

by Prague Morning Mar 27, 2025

Czech Women Earn 18% Less Than Men – One of the Largest Gaps in Europe

The gender pay gap in Czechia is growing, placing the country at the bottom of the EU rankings. In Czechia, the difference currently stands at 18%, meaning women work an additional 65 days to close the gap. After years of gradual improvement, the pay disparity has started increasing again, according to the Business & Professional Women CR (BPWCR) organization. The Equal Pay Day conference, scheduled for March 25-26, 2025, at the Clarion Congress Hotel Prague, will bring together experts, policymakers, and business leaders to explore solutions. Gender Pay Gap Worsens Despite Past Progress Between 2021 and 2022, Czechia’s gender pay gap reached a historic low of 15%, thanks to measures like raising the minimum wage and adjusting salary scales in undervalued sectors such as education and healthcare, where women make up the majority of the workforce. However, these were one-time interventions rather than systemic changes, leading to a reversal of progress. The largest pay disparities are found in management roles, specialist positions, medical professions, and university lecturing, where men continue to earn significantly more than their female counterparts. Czechia at the Bottom of EU Rankings With an average EU gender pay gap of 13%, Czechia ranks among the worst-performing countries....

by Prague Morning Mar 23, 2025

Czechia May be Part of Potential Contingent in Ukraine, Says Pavel

Czechia is prepared to take part in negotiations on the possible deployment of military forces in Ukraine. If such forces are established, the country may join them, President Petr Pavel said. “There was a meeting at the level of chiefs of staff in London. Its main purpose was to discuss the modalities of a potential military presence in Ukraine. And the Czech Republic is ready to be part of these negotiations. And if there is a final decision to create such forces, I truly believe that the Czech Republic will become part of them,” Pavel said at a joint press conference with Ukrainian President Volodymyr Zelenskyy. However, according to the Czech president, it is very difficult to determine the mandate of military contingents before the start of negotiations. “Therefore, first we need to have an agreement on military presence, then we need to discuss the mandate, mission, and its structure, composition,” Pavel explained. Pavel reaffirmed his country’s unwavering support Saturday for Ukraine as he visited Kyiv, emphasizing continued military assistance, humanitarian aid, and long-term cooperation. “I am proud of the Czech support for Ukraine,” Pavel said in a statement on X, noting that his country has been supplying medical supplies,...

by Prague Morning Mar 22, 2025

Trump Cuts Funding for Prague-Based Radio Free Europe

The U.S. government has decided to end funding for Prague-based Radio Free Europe/Radio Liberty (RFE/RL) as part of President Donald Trump’s broader effort to reduce the United States Agency for Global Media (USAGM) to its legal minimum. The move, announced on Friday, also affects the operations of Voice of America (VOA), with many employees placed on administrative suspension. According to an executive order issued by Trump, several agencies, including USAGM, must limit their activities “to the greatest extent permitted by applicable law.” The directive states that these organizations should function only as required by law, citing the need to reduce federal bureaucracy. Reuters reported that it had reviewed internal USAGM letters confirming the termination of funding for RFE/RL, which provides news coverage in Eastern Europe, and Radio Free Asia, which primarily targets China and North Korea. RFE/RL confirmed the decision, with its chief, Stephen Capus, calling the move “a huge gift to America’s enemies.” “Up to fifty million listeners in closed societies who rely on us for accurate news and information will lose access to independent reporting,” Capus said. “The closure of RFE/RL after 75 years would be welcomed by autocrats in Moscow and Minsk.” Meanwhile, The New York Times...

by Prague Morning Mar 16, 2025

Billions from Brussels: How EU Money is Powering Czechia’s Growth

Czechia has successfully launched the 2021-2027 European funding period, with 13% of the available funds already reimbursed—far exceeding the European average of 7.5%. By the end of 2024, more than half of the allocated funds had already been contractually secured. This means that beneficiaries—businesses, municipalities, and institutions—have committed to using these resources for specific projects aimed at economic growth, sustainability, and innovation. Environmental Protection EU funds have played a crucial role in reducing air pollution, improving water purification, and promoting energy efficiency, leading to a better quality of life for residents. Key achievements (2014–2020): The percentage of people living in areas with high air pollution dropped from 26.5% to just 1.4%. Annual energy consumption fell by 3.2 million GJ, equivalent to 3.5% of Czechia’s total heat consumption. Composting increased by 70%, preventing over 305,000 tons of waste from ending up in landfills. More than 88,800 households replaced solid fuel boilers with environmentally friendly alternatives. Modernizing Transport Infrastructure EU funds have helped expand and modernize roads, highways, and railways, making travel faster and safer across the country. Key achievements (2014–2020): 357 km of new roads and highways were constructed, while 1,500 km were reconstructed. One in four municipalities improved connections to...

by Prague Morning Mar 15, 2025

Ukraine Thanks Czech Volunteers for Funding Black Hawk Helicopter

The initiative, called “A Gift for Putin,” began crowdfunding for the Black Hawk helicopter in November 2023, with more than 20,642 donors contributing to the cause. According to the initiative’s website, Ukraine’s military intelligence (HUR) will use the helicopter for evacuating soldiers and conducting special operations. Kyrylo Budanov, head the military intelligence service of the Ukrainian government, expressed gratitude for Czech support throughout the war with Russia, calling the fundraiser “an unprecedented event.” The organizers wrote: “We did it! Czechs are sending a Black Hawk helicopter to Ukraine. We managed to get a cheaper and newer machine that Ukraine needs.” “Let’s finish what we started together and send Čestmír to fight against the dark Empire,” they added, referring to the helicopter’s symbolic name ‘Čestmír,’ which means ‘one who values honor’ in Czech, while likening Vladimir Putin’s regime to a ‘dark empire.’ The statement continued: “Ukraine cannot win the war with drones or ammunition alone. It also needs tanks, aircraft, howitzers—and helicopters for special operations.” Czechs have now become the first nation to purchase a military helicopter for Ukraine. Would you like us to write about your business? Find out more

by Prague Morning Mar 07, 2025

The Birth of Tomáš Garrique Masaryk, 175 Years Ago

Father of Czechoslovakia, the very first Czechoslovak president, philosopher and sociologist, humanist and democrat, the 2nd Greatest Czech according to the national vote in 2005. We can mention these things and much more while remembering the legendary professor Tomáš Garrique Masaryk. President Petr Pavel and Senate Speaker Miloš Vystrčil will attend a commemorative event in Lány, where they will lay wreaths at Masaryk’s tomb. Vystrčil, along with other senators, will also participate in a ceremony at Masaryk’s statue on Prague’s Hradčany Square. Commemorative events are also planned in Plzeň, Olomouc, Vsetín, and Hradec Králové. The museum in Masaryk’s hometown of Hodonín in Moravia will put his original writing set on display. About Tomáš Garrique Masaryk TGM was born on March 7th, 1850 in Hodonín, South Moravia, close to the Slovak border as Tomáš Masárik. He was the oldest of three sons born to a Slovak father and a Czech mother with roots in Germany. Educated in Vienna and Leipzig, Masaryk spent decades advocating Czech statehood. Masaryk’s literary activities were extensive, including being the editor-in-chief for various magazines, an editor for a new Czech encyclopaedia, and translating literary works by such greats as Dostojevsky into Czech. Masaryk’s priority was obtaining independence before...

by Prague Morning Mar 07, 2025

Czech Republic to Lift Defence Spending to 3% of GDP by 2030, PM Says

The Czech government has decided to gradually raise its defence spending to 3% of gross domestic product by 2030, from around 2% now, Prime Minister Petr Fiala said on Wednesday. Defence expenditure should rise by 0.2% of GDP each year starting in 2026, when it should reach 2.2%, he said. Fiala has said defence spending must grow to meet new geopolitical realities. “Increasing defence spending is important for security, it is necessary and essential,” Fiala said, adding it was also an opportunity for the economy. European leaders have been moving quickly to plan higher defence spending after the return of Donald Trump as U.S. president raised fears in Europe that it can no longer be sure of U.S. protection. Czech defence spending reached 2% of GDP in 2024, in line with its commitments as a NATO member. The government faces a general election in the autumn, and the main ruling parties are trailing in polls to the party of former prime minister Andrej Babis, who has said spending at current targets already means more money going to defence due to rising GDP.

by Prague Morning Mar 06, 2025

US Tariffs to Hit Czechia and Slovakia Hard – S&P Global Warns

Czechia, Slovakia, and other Central European countries could face serious economic setbacks as the United States plans to impose 25% tariffs on imports from the European Union, according to a report from S&P Global. The German auto sector, a key driver of Central Europe’s economy, is expected to be particularly affected. Although the Trump administration has yet to confirm the start date for these tariffs, their implementation could hamper economic growth across the region and exacerbate existing budgetary issues, S&P Global warned on Monday. Czech and Slovak Economies at Risk Despite limited direct trade exposure to the U.S., the economies of Czechia, Slovakia, Hungary, Slovenia, and Romania are heavily tied to the German auto industry, which would suffer from reduced American demand, S&P Global said. Machinery and transport equipment exports to Germany account for over 10% of total exports in these countries, making them vulnerable to any downturn in the sector. Central European economies are among the most export-dependent in the EU. According to Eurostat’s 2023 data, exports make up 92% of Slovakia’s GDP and 69% of Czechia’s GDP—both well above the EU average. Romania is the only exception, with 39%. Growth Slowdown Expected According to Nicholas Farr, an analyst...

by Prague Morning Mar 05, 2025

Czech Foreign Minister Responds to U.S. Suspension of Military Aid to Ukraine

Czech Foreign Minister Jan Lipavský has addressed reports from several reputable American media outlets indicating that U.S. President Donald Trump has ordered a suspension of all military supplies to Ukraine. While the White House has neither confirmed nor denied this information, the decision reportedly affects artillery shells, missiles, vehicles, and other equipment, including supplies agreed upon during former President Joe Biden’s tenure. In response, Minister Lipavský emphasized Europe’s responsibility in safeguarding its own security. He noted that President Trump’s commitment to ending foreign conflicts aligns with his campaign promises, suggesting that Europe’s defense against Russian imperialism now rests primarily on its own shoulders. “Our government has increased defense spending and will continue to do so to ensure the security of the Czech Republic,” Lipavský stated. “We will also persist in negotiations with our partners, including Ukraine, to achieve lasting peace in Europe.” This development has raised concerns among European leaders about the potential impact on Ukraine’s defense capabilities and the broader security landscape in Europe. The suspension of U.S. military aid underscores the necessity for European nations to bolster their defense strategies and collaborate more closely to maintain regional stability. Would you like us to write about your business? Find out...

by Prague Morning Mar 04, 2025

Another Wave of Food Price Hikes in Czechia: What’s Behind It?

The Czech Republic has barely had time to recover from recent food price hikes, and another surge is already underway. This wave is marked by the most significant increase in agricultural producer prices in nearly two years. In January, the price of agricultural production rose by 9.1 percent year-on-year, the largest increase since March 2023. Potatoes, in particular, saw a significant rise of 6.2 percent month-on-month. While last year’s harvest was relatively strong, the price surge is largely due to the expansion of growers’ production areas. This trend was similarly observed in major producer countries like France and Germany, which have a direct impact on potato prices in the Czech Republic. But it’s not just supply issues driving the price increase – demand is also on the rise. This is partly due to the fading effects of recent years’ inflationary waves. Additionally, the cost of storing potatoes during the winter has risen due to higher energy costs, further contributing to the price increase. Rising Fruit Prices Fruit prices are climbing sharply as well, with a 29.8 percent year-on-year increase. Stocks from the previous season are running low, and their depletion is accelerating due to rising demand. Much like potatoes, fruit...

by Prague Morning Feb 26, 2025

Putin Fears Zelensky’s Legitimacy, Czech Foreign Ministry says

Vladimir Putin fears Ukrainian President Volodymyr Zelensky because he was freely elected, unlike Putin himself, the Czech Foreign Ministry Jan Lipavský said in a statement released on February 24. “Exactly three years ago, tens of thousands of Russian troops invaded Ukraine with the aim of killing a president elected in free elections, overthrowing a democratically elected government, murdering as many Ukrainians as possible, subverting the entire country and using it as a tool of attack against other states,” the statement reads. It also emphasizes that the Czech Republic supports the territorial integrity and sovereignty of Ukraine. “We will continue to consider Crimea and parts of the Donetsk, Luhansk, Kherson and [Zaporizhzhya oblasts], which are currently illegally occupied by the Russian army, as indivisible parts of Ukraine. Any future agreements must reflect this indisputable fact,” the Czech Foreign Ministry added. A just and lasting peace based on the principles of the UN Charter must be achieved for Ukraine. “Peace cannot be achieved by yielding to the aggressor,” Czech diplomats stated. “Through its aggression, Russia not only seeks to destroy Ukraine but also to weaken our freedom, prosperity, and the security architecture in Europe, thereby attempting to undermine NATO and the EU.”...

by Prague Morning Feb 25, 2025

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