According to the head of the IMF delegation, Dimitri Demekas, the reason of the arrival of the IMF delegation is not a formal assessment of the implementation of the first phase of the stand-by deal with Croatia, scheduled for December. The delegation came to Croatia to be informed about the current economic and financial movements, particularly in the preparations for the 2005 state budget and the framework projection of the economic and fiscal policy for the upcoming three-year period.
The IMF delegation expressed interest in the latest balance of payments trends and foreign debts trend, as well as in the results of monetary policy measures and future moves by which the central bank planned to contribute to maintaining a low inflation rate and the overall macroeconomic stability, the HNB said in a statement.
HNB governor Zeljko Rohatinski informed members of the IMF delegation that this year's inflation rate would amount to about two percent.
At the end of last month, Croatia's external debt was reduced by EUR100 million in relation to the end of August, namely it was on the same level as in July, which is the result of measures taken by the Central Bank. The Bank does not expect a significant increase of the external debt by the end of the year.
The projection of the monetary policy for next year has not yet been completed, but it can already be said that it will be marked by two significant novelties -- start of activities on the open market and further liberalisation in capital transactions, the HNB said in the statement.