, Schengen Convention, UN, UNCTAD,
UNESCO, UNIDO, UNMIL, UNOMIG, UNWTO, UPU, WCL, WCO, WEU (associate),
WFTU, WHO, WIPO, WMO, WTO, ZC

Diplomatic representation in the US:

chief of mission: Ambassador Petr KOLAR
chancery: 3900 Spring of Freedom Street NW, Washington, DC 20008
telephone: [1] (202) 274-9100
FAX: [1] (202) 966-8540
consulate(s) general: Chicago, Los Angeles, New York

Diplomatic representation from the US:

chief of mission: Ambassador Richard W. GRABER
embassy: Trziste 15, 118 01 Prague 1
mailing address: use embassy street address
telephone: [420] 257 022 000
FAX: [420] 257 022 809

Flag description:

two equal horizontal bands of white (top) and red with a blue
isosceles triangle based on the hoist side
note: identical to the flag of the former Czechoslovakia

Economy
Czech Republic

Economy - overview:

The Czech Republic is one of the most stable and prosperous of the
post-Communist states of Central and Eastern Europe. Growth in
2000-07 was supported by exports to the EU, primarily to Germany,
and a strong recovery of foreign and domestic investment. Domestic
demand is playing an ever more important role in underpinning growth
as the availability of credit cards and mortgages increases. The
current account deficit has declined to around 3.3% of GDP as demand
for automotive and other products from the Czech Republic remains
strong in the European Union. Rising inflation from higher food and
energy prices are a risk to balanced economic growth. Significant
increases in social spending in the run-up to June 2006 elections
prevented, the government from meeting its goal of reducing its
budget deficit to 3% of GDP in 2007. Negotiations on pension and
additional healthcare reforms are continuing without clear prospects
for agreement and implementation. Intensified restructuring among
large enterprises, improvements in the financial sector, and
effective use of available EU funds should strengthen output growth.
The pro-business Civic Democratic Party-led government approved
reforms in 2007 designed to cut spending on some social welfare
benefits and reform the tax system with the aim of eventually
reducing the budget deficit to 2.3% of GDP by 2010. Parliamentary
approval for any additional reforms could prove difficult, however,
because of the parliament's even split. The government withdrew a
2010 target date for euro adoption and instead aims to meet the
eurozone criteria a