Czech Republic - Factors To Watch on April 3

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FISCAL MEASURES

The cabinet approved a package of reforms late on Monday aimed at cutting spending and revamping taxes in order to narrow the budget deficit next year.

[nL03161264] [RTRS-LEN-CZ-POL]

Prime Minister Mirek Topolanek, Finance Minister Miroslav Kalousek and Labour and Social Affairs Minister Petr Necas are dut to outline the reform proposals at a business forum starting at 4 p.m. (1400 GMT).

Topolanek's cabinet wants to cut the budget deficit towards 3 percent of GDP in 2008 from 4 percent expected this year.

- For FACTBOX listing key proposals floated by media, double click on [ID:nL26523666].

RWE RESULTS

RWE Transgas, a unit of German utility RWE , holds a news conference on 2006 results with CEO Martin Herrmann and board member Milan Kajtman at 10 a.m. (0800 GMT).

[RTRS-LEN-CZ-RWEG.DE]

CZECHS MEET EU DEFICIT LIMIT

The Czech Republic said the 2006 budget deficit was smaller than first thought and was below the EU's three percent of GDP limit, but analysts said it was likely to widen in 2007.

[nL02126387] [RTRS-LEN-CZ-GVD]

- DETAILS ON REVISION TO PAST BUDGET DATA....[ID:nL0220601]

- TABLE ON JANUARY-MARCH BUDGET BALANCE.....[ID:nPRA001228]

STRUGGLE EN ROUTE TO EURO

The big four central European countries could struggle to simultaneously keep their inflation rates low and currencies stable en route to the euro, according to new research published by the European Central Bank.

[nL02211422] [RTRS-LEN-CZ-ECB]

MARCH PMI

Growth in Czech manufacturing activity ebbed in March from the previous month's record high, with the Purchasing Managers' Index declining for the first time in five months.

[PRA001227]

- FOR A TABLE ON BREAKDOWN, DOUBLE CLICK ON [ID:nPRA001227]

- FOR AN INSTANT VIEW.......................[ID:nL02727997]

END-MARCH BUDGET

The central state budget showed a 11.26 billion crown ($537.5 million) surplus for January-March.

[nL02176282]

- For real-time economic data releases and market consensus forecasts, double click on the code in brackets:

[RTRS-LEN-CZ-ECI]

INTEREST RATES FLAT

The central bank (CNB) kept interest rates on hold for the sixth month running last week and re-inforced the market's view that benign price pressures warranted a further delay in policy tightening.

- MAIN NEWS STORIES: [nL29598110] [RTRS-LEN-CZ-CEN-INT]

- HIGHLIGHTS OF GOVERNOR'S COMMENTS: [nL29449470]

- REUTERS POLL ON DATA DUE OUT IN APRIL: [ID:nL2940601]

- OVERVIEW OF NEAR-TERM ECONOMIC FORECASTS: [ID:nL29735550]

- SUMMARY OF COMMENTS BY CNB POLICYMAKERS: [ID:nL28280579]

- LATEST INTEREST-RATE FORECASTS: [ID:nL21449308]

- FACTBOX ON C.EUROPEAN RATE DECISIONS: [ID:nL23653755]

Overview of past economic data and market forecasts For Instant Views of key economic data click on [CZ/INSTANT] For summary of economic data and forecasts For diary of forthcoming Czech events [CZ/DIARY] For calendar of east European economic indicators [CONV/DIARY] TOP NEWS -- Emerging markets [TOP/EMRG] TOP NEWS -- Convergence watch [TOP/EAST]

For an economic indicator diary for the euro zone, the United States and other Group of Seven countries see

For real-time stock market index quotes click in brackets: Warsaw WIG20 Budapest BUX Prague PX

News editor of the day: Alan Crosby on +420 224 190 477; fax: +420 224 229 935

E-mail: prague.newsroom@reuters.com

Reuters Messaging: alan.crosby.reuters.com@reuters.net