Price-Setting In the Czech Republic

To account in part for the koruna's fall in value, the Czech FinanceMinistry has, from July 1, amended its maximum price list for medicines. The new list sets price rises based on inflation in the country of origin and changes in the koruna's exchange rate with those countries' currencies, Deputy Finance Minister Jana Fuerstova has told Reuters.

However, she added, the compensation for the currency fall would not be complete, as exchange rate risks were incorporated in the calculations (importers' price rise proposals) done in January. Before Ms Fuerstova's statement, the International Association of Pharmaceutical Companies had said that the recent drop in the exchange rate could mean the removal of certain vital drugs from the market. Ms Fuerstova told Reuters that many of these threats were unfounded; her office and the Health Ministry were ready to negotiate individual cases if there was a chance that supplies of an unsubstitutable vital drug might be suspended.

There are sufficient drugs on the market at present, she said, and the Ministry will analyze further developments and amend the regulation, if needed, in October.