Banks To Invest CZK 7 Billion In National Development FundPetr Dubinsky
A Czech national development fund, backed by the country’s four biggest banks (CSOB, Komercni banka, Ceska sporitelna and UniCredit Bank), is expected to launch by the middle of 2020 with initial financing of 7 billion crowns.
Banks signed a memorandum of cooperation on Thursday on launching the fund, which will be aimed at investing in projects in infrastructure, education and healthcare, using leverage to multiply the initial funding.
Prime Minister Andrej Babis said he expected other companies, not just banks, would join the fund. Babis proposed the fund in May as a counter to Social Democrats’ demands to introduce a bank sector tax to raise funds for the budget.