The Bank Committee of the Czech National Bank decreased the rate of statutory minimum reserves of commercial banks from the 9.5% to 7.5% with effect from 30 July 1998. This reduction is expected to free up about Kc 21 billion in reserves currently held interest-free by the Czech National Bank.

According to the Czech National Bank, the minimum reserve requirements are expected to drop to 5% within two years.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

For further information on the above, please contact Mr Richard Fletcher by telephone on +420 2 2440 1300 or E-mail directly to Click Contact Link