The Czech Republic derives no appreciable economic benefit from mem- bership in the IIB whatsoever – indeed, it is a net drain on resources – and its continued membership in the bank is a glaring blight on the country’s reputation. [...] Given the continued losses at Pilsen Steel (notwithstanding bankruptcy and multiple reorganizations) and the deteriorating state of relations between Pilsen Steel/Pilsen Toll and the local government of Plzeň Re- gion, it would have been clear to any financial analyst or accountant that the collapse of the entire group of companies was likely imminent. [...] Notwithstanding this troubling backdrop, Alena Schillerova, Czech Minister of Finance and the Czech governor at IIB, has been one of the only Czech officials to defend IIB publicly, calling membership in the bank “beneficial and profitable” for the Czech Republic. [...] A key reason for official Czech hesitancy to leave the bank appears to be the concern that the government will not receive compensation for the Czech Republic’s existing paid-in capital, resulting in political em- barrassment. [...] Nonetheless, IIB’s disastrous reputation and the presence of valid national security risks argues strongly for the Czech Republic to follow Poland’s lead and leave the bank without delay, particularly in light of the Kremlin’s utter contempt for Czech sovereignty.
- Pages
- 3
- Published in
- Czechia
