Finance Minister Andrej Babiš wants exclusive control over the state-run Czech Export Bank (ČEB), claiming that a lack of clear organizational structure is leading to poor management and preventable losses. Four ministries are currently represented on the bank’s supervisory board (finance, industry and trade, foreign affairs and agriculture) but none of them know who is responsible for what, claims the finance minister. Babiš’ proposal for total finance ministry control, however, may be opposed by the minister of industry and trade, Jan Mládek (ČSSD), writes the daily Hospodářské noviny.
If the control over ČEB and EGAP (Export Guarantee and Insurance Corporation) were assumed by the finance ministry, its power over businesses would increase, as ČEB and EGAP provide crucial loans for exporters. Babiš told Hospodářské noviny that ČEB has serious financial difficulties, with CZK 16bn in loss-making loans.
