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Sanader says there will be no cuts in pensions

ZAGREB, June 23 (Hina) - Croatian Prime Minister Ivo Sanader hasrefuted reports that pensions will be reduced, and stressed that thedebt must be paid back to pensioners.
ZAGREB, June 23 (Hina) - Croatian Prime Minister Ivo Sanader has refuted reports that pensions will be reduced, and stressed that the debt must be paid back to pensioners.

"If pensions cannot be increased, we shall sit at the table and discuss how we can meet the possibilities of the state and the material position of pensioners. Pensions will not be lower, but it is necessary to launch a pension system reform and everybody agrees on it," PM Sanader told the government at its session in Zagreb on Thursday.

He also reiterated that it was necessary to put public finance and administration in order including the reform in the health sector which should be carried out without haste, he added.

Sanader announced that his cabinet will move the direct election o heads of municipalities, mayors and county prefects.

This is a key step forward which requires political consensus from other parties, he added.

The PM announced changes in the relevant law regulating the position of the State Election Commission as a standing, professional and nonpolitical body.

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