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The Skoda Auto car manufacturer plans to double production at its plant in the Indian town of Aurangabad and export to Bangladesh this year. Skoda Auto is based in the central Bohemian town of Mlada Boleslav but is now owned by Germany's Volkswagen Group. Skoda has already invested 100 million euros in the Indian plant. It is the manufacturer's only plant outside Europe and currently produces some 15,000 vehicles a year.

The Czech government has approved a proposal for a new constitutional law that would allow ordinary citizens hold referendums on important internal and foreign state policy. Under the bill, a referendum could not be held on issues that question constitutional principles and fail to respect the country's international obligations. Citizens would, however, be able to vote on the European constitution, which has to be ratified by all EU member states before October 2006. In order to be passed, the bill has to be supported by 120 of the 200 deputies in the lower house and three fifths of Senators.

The Czech crown hit a historic high against the US dollar of 21.90 crowns on Wednesday. It also reached a 2.5 year high against the euro when it stood at 29.29 to the single European currency. The Czech National Bank said on Wednesday it was considering intervening against the strong crown.

Prime Minister Stanislav Gross has said he sees no reason for the government to initiate a vote of confidence in Parliament following the protracted government crisis. After a meeting with senior party officials, Mr. Gross told journalists that his Cabinet was fully functional and capable of meeting the challenges ahead. The Prime Minister also reiterated his intention to run for the post of party chairman at the upcoming party conference in March. Mr. Gross told journalists he was not considering leaving either of his posts - party chairman or prime minister. The ruling Social Democrats have been under pressure to ask Parliament for a vote of confidence and to choose a new party leader at their March conference.

President Vaclav Klaus met with the US President George W. Bush at the White House on Tuesday. The meeting lasted around thirty-five minutes and President Klaus later described it as "friendly and positive". The two leaders discussed transatlantic priorities, the situation in the Middle East, security issues as well as bilateral ties and the Czech government crisis. It was President Klaus' first bilateral meeting with the US leader since taking office two years ago. Commentators say it marks the end of a period of distinctly cool relations between the two statesmen widely attributed to Mr. Klaus' opposition to the war in Iraq. President Klaus is on a working visit to the United States, promoting his book on the Czech Republic's journey from communism to a free society.

President Vaclav Klaus is expected to meet the US President George W. Bush at the White House on Tuesday. The meeting is expected to last around thirty minutes, according to the Czech Republic's Ambassador to the United States, Martin Palous. Mr Palous did not comment on the topics to be discussed by the two presidents but called the visit a "positive signal for Czech-US relations". President Klaus is currently on a private visit to the United States, promoting his book on the Czech Republic's journey from communism to a free society.

The largest opposition party, the right-of-centre Civic Democrats, have said they expect the coalition government of Prime Minister Stanislav Gross to ask the lower house of parliament for confidence. Otherwise they said they will call a no-confidence vote in the government after the Easter national congress of the ruling Social Democratic Party at which Prime Minister Gross will seek election as party chairman. The Civic Democrats have been critical of the recent row within the governing coalition and suggested early elections as the only way out of it.

The government crisis had been caused by Prime Minister Gross's failure to provide a plausible explanation of how he financed a Prague apartment five years ago and how his wife funds her business. The controversies triggered a row between the two biggest coalition parties: the Christian Democrats called on the Social Democrat Prime Minister to step down and Prime Minister Gross in turn threatened to ask the President to sack the three Christian Democrat ministers. The Social Democrats now consider the government crisis to be over, after they gave the strong backing to Prime Minister Gross on Saturday and after he made a public apology for his statements in connection with the row.

"Horem padem" or "Up and Down" in English - has won the Czech Lion award for the best Czech film of 2004. The film, directed by Jan Hrebejk and produced by Ondrej Trojan, won a total of four prizes at Saturday's award ceremony in Prague; for best Czech film, best director, best script and best actress in a leading role.

The Czech National Library has said it is interested in acquiring a 14th-century manuscript which is on offer at a Paris auction room. The 24-page parchment book is a fragment of a Latin translation of the "Chronicle of Dalimil" - the oldest Czech language chronicle in verse and one of the fundamental documents of Czech historiography. The Latin translation is believed to have been made in Italy in the second half of the 14th century. The Czech National Library is in talks with the Culture Ministry over a financial contribution by the state towards buying the manuscript. The catalogue price of the artefact is between 120,000 and 150,000 euros but according to experts its final price could climb up to 1 million euro at the auction.

Earlier on Saturday, the Prime Minister Stanislav Gross said he considered the government crisis, triggered by the controversies surrounding his family's private finances, to be over and called on his cabinet to get back to work. In a confidence vote on Saturday morning, his party gave Mr Gross the strong backing following weeks of crisis of confidence focusing on him personally. In three weeks' time Prime Minister Gross, who is the acting head of the Social Democrats, will seek election as party chairman at the Social Democrats' national congress.