The outlines of an agreement between the mayor of Prague Zdenek Hrib and Czech Prime Minister Andrej Babis have emerged on a complex series of infrastructure and real estate issues. The city has land in the district of Letnany the prime minister wants to build a new government quarter on, despite the fears of critics about creating a bureaucratic ghetto. The state, meanwhile, has money the city wants it to contribute to the construction of the inner ring road and for land purchases needed for the outer ring road. Babis said that recent negotiations had been constructive and that the state was willing to help finance the city ring road with a contribution of CZK 60bn. He even said the city might be allowed to take over a former army barracks in Prague 8’s Karlin district to be reconstructed for use as student dormitories.
