The Ivo Sanader Cabinet based the 2006 budget draft on a four per cent economic growth, an inflation rate revolving around three per cent, and a deficit accounting for 3.3 per cent of Gross Domestic Product.
The envisaged deficit is nearly one per cent lower than this year's and three per cent lower than two years ago, said the prime minister.
He voiced confidence the GDP growth rate could exceed four per cent.
Sanader underlined that the draft budget showed that his government's policy was development- and socially-oriented and balanced.
"This is an ambitious budget, with ambitious goals," he said.
The government's planned budget revenue for 2006 is 93.9 billion kuna, a growth of 6.4 per cent.
(EUR1 = 7.4 kuna)