The Czech state could borrow up to K?140bn from households over the next few years in order to offset the fall in budget revenues caused by the economic crisis, according to Miroslav Kalousek, finance minister.

Bonds for individuals with yield guarantees between 3-4% are to be issued this year and will be redeemable upon the owner’s demand. Households currently own roughly 1% of the total state debt of over K?1 trillion, though the Finance Ministry does not rule out that this could rise to 15% in the future. Kalousek said nominal value of the bonds will probably be K?10,000.