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Czech Republic Location : Central Europe, southeast of Germany
Capital City : Prague
Curreny : Czech koruna (CZK)
Languages Spoken : Czech
Climate : temperate; cool summers; cold, cloudy, humid winters
National Holiday : Czech Founding Day, 28 October (1918)
Background Information
After World War II, Czechoslovakia fell within the Soviet sphere of influence. In 1968, an invasion by Warsaw Pact troops ended the efforts of the country's leaders to liberalize party rule and create "socialism with a human face." Anti-Soviet demonstrations the following year ushered in a period of harsh repression. With the collapse of Soviet authority in 1989, Czechoslovakia regained its freedom through a peaceful "Velvet Revolution." On 1 January 1993, the country underwent a "velvet divorce" into its two national components, the Czech Republic and Slovakia. Now a member of NATO, the Czech Republic has moved toward integration in world markets, a development that poses both opportunities and risks.
Geographical Note
landlocked; strategically located astride some of oldest and most significant land routes in Europe; Moravian Gate is a traditional military corridor between the North European Plain and the Danube in central Europe
Economy
Basically one of the most stable and prosperous of the post-Communist states, the Czech Republic has been recovering from recession since mid-1999. Growth in 2000-01 was led by exports to the EU, especially Germany, and foreign investment, while domestic demand is reviving. Uncomfortably high fiscal and current account deficits could be future problems. Unemployment is gradually declining as job creation continues in the rebounding economy; inflation is up to 4.7% but still moderate. The EU put the Czech Republic just behind Poland and Hungary in preparations for accession, which will give further impetus and direction to structural reform. Moves to complete banking, telecommunications, and energy privatization will add to foreign investment, while intensified restructuring among large enterprises and banks and improvements in the financial sector should strengthen output growth.
Religions
atheist 39.8%, Roman Catholic 39.2%, Protestant 4.6%, Orthodox 3%, other 13.4%
Ports : Decin, Prague, Usti nad Labem
International Disputes - Risks to travellers
: Liechtenstein's royal family claims restitution for 1,600 sq km of land in the Czech Republic confiscated in 1918; individual Sudeten German claims for restitution of property confiscated in connection with their expulsion after World War II; Austria has minor dispute with Czech Republic over the Temelin nuclear power plant and post-World War II treatment of German-speaking minorities
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Czech Republic
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