Impacts of the increase in the CNB repo rate from October 1, 2021 (No. 1034)

The Czech National Bank raised the two-week repo rate from October 1, 2021, from the original 0.75% to the current 1.50%. The amount of the repo rate has a direct effect on determining the rate of all types of interests according to the Tax Procedure Code, e.g. default interest, which corresponds annually to the repo rate set by the CNB for the first day of the calendar half-year, in which the delay lasts, increased by 8 percentage points.

Changes in the calculation of default interest shall always be reflected on the first day of the calendar half-year. This practically means that in the second half of 2021, the CNB repo rate valid on 1 July 2021, i.e. 0.50%, is calculated. The current repo rate of 1.50% will be used from 1 January 2022, unless changed earlier.

publikováno 22.10.2021