Analysis-Extreme weather adds to fiscal strains in central Europe


  • World
  • Friday, 20 Sep 2024

A drone view of the Oder river, in Wroclaw, Poland, September 19, 2024. Agencja Wyborcza.pl/Patryk Ogorzalek via REUTERS

PRAGUE/WARSAW (Reuters) - Just a week ago, before deadly floods swept through central Europe, the Czech Republic looked on track to become the first country in the region since COVID-19 to pull its budget deficit firmly below the 3% of GDP cap set by European Union rules.

Now that small victory for public finances hangs in the balance as the Czech Republic and Poland, which have borne the brunt of the deluge, count the cost of the worst floods to hit the region in at least two decades.

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