By Leos Rousek

TODAY'S CALENDAR 
 
 Local/GMT 
 0900/0700  Czech July business confidence 
 1130/0930  Hungary T-Bond auctions 
 1530/1330  Czech, Croatian fin mins meeting 
    N/A     Czech govt on investment incentive 
            for South Korean Mobis

The Czech government is due to approve an investment incentive for car parts makers Hyundai Mobis Co. Ltd. (012330.SE) which is planning to open production facility in the north east of the country.

Mobis, which supplies Hyundai Motor Co. Ltd. (H005380.SE) and Kia Motors Corp. (000270.SE), is key for the expansion of the two South Korean car makers' existing production plants in the Czech Republic and Slovakia respectively.

According to Czech media reports, the car parts maker is likely spend 90 million euros ($121 million) to open a production facility near both Hyundai and Kia plants. Mobis officials couldn't be reached immediately for comment.

Also in Prague, Czech and Croatian finance ministers are due to meet to discuss the experience of the government in Zagreb on value added tax declarations by businesses. The Czech government is considering whether to increase its monitoring of VAT receipts as it seeks to stem tax evasion.

Hungary's sovereign debt management agency AKK Zrt will auction a total of 65 billion forints ($284 million) in four-, five- and 11-year Treasury bonds. Demand is expected to be strong due to the Hungarian central bank's incentives for commercial banks to buy more government debt.

The latest auction will be the first offering by the agency since the central bank's announcement on Tuesday that it has ended its two-year long easing cycle and plans not to touch its main policy rate, currently at 2.10%, until the end of 2015.

 
FOREX 
 
EUR/CZK 
Latest 0250 GMT 27.444-70 
Previous close 27.437-80 
%Chg -0.01 
 
EUR/HUF 
Latest 0250 GMT 307.16-68 
Previous close 307.06-74 
% Chg  +0.01 
 
EUR/PLN 
Latest 0250 GMT 4.1336-78 
Previous 2150 close 4.1333-82 
% Chg  0.00 
 
FIXED INCOME 
 
Hungary 
         Wed    Tue 
3 yrs   3.04%  3.06% 
5 yrs   3.34%  3.36% 
10yrs   4.15%  4.18% 
 
Poland 
         Wed    Tue 
3 yrs   2.41%  2.47% 
5 yrs   2.88%  2.94% 
10yrs   3.28%  3.33% 
 
Czech Republic 
         Wed    Tue 
3 yrs   0.23%  0.24% 
5 yrs   0.52%  0.52% 
10yrs   1.42%  1.43% 
 
 
STOCKS 
 
WIG 20 
2,402.93-8.68-0.36% 
 
BUX 
18,004.51-100.35-0.55% 
 
PX 
951.28-1.58-0.17% 
 
 
OTHER NEWS

POLAND: Poland's financial regulator, the KNF, is ordering private equity firm Abris Capital Partners to sell a bank it owns by the end of this year. The regulator alleges that the private equity firm failed to properly "consult" the KNF when it appointed a new chief executive officer at FM Bank PBP last year. In the regulator's eyes, that's enough to force a sale.

HUNGARY: Hungary's central bank governor has said the institution was done cutting interest rates, but analysts aren't so sure.

The central bank on Tuesday lowered its benchmark rate by 0.2 percentage point to 2.10%, a deeper cut than expected and the latest in a series of monthly cuts since August 2012, when the rate was 7%. Gov. Gyorgy Matolcsy followed up by announcing there wouldn't be any more cuts and the rate wouldn't change until at least the end of 2015.

BULGARIA: Bulgaria's Prime Minister Plamen Oresharski late Wednesday submitted his resignation to parliament, a move that will lead to his entire cabinet stepping down after a tumultuous year marked by public protests, a banking crisis and confrontations with the European Union.

-Margit Feher in Budapest contributed to this article.

Write to Leos Rousek at leos.rousek@wsj.com

Go to http://blogs.wsj.com/emergingeurope for the new WSJ and Dow Jones blog on Central and Eastern Europe, covering business, politics, society and more, written by our correspondents across the region.