ZAGREB, Feb 27 (Hina) - Economic growth in Croatia could come to 3.4 percent in 2003, and this increase will partly be generated by the transfer of positive impulses from last year and as a result of a rise in investments and
consumption, according to analysts of the Raiffeisenbank.
ZAGREB, Feb 27 (Hina) - Economic growth in Croatia could come to 3.4
percent in 2003, and this increase will partly be generated by the
transfer of positive impulses from last year and as a result of a
rise in investments and consumption, according to analysts of the
Raiffeisenbank. #L#
The analysts believe that Croatia's bids to come closer to the
European Union have some bearing on the enhancement of the
political and economic credibility of the country.
They also expect that the real growth of the Gross Domestic Product
in Croatia would be 4.7 percent in 2002.
The most significant impulse for economic growth in 2003 will be
given by investments which the government is directing in the
construction of road infrastructure and power plants.
Although personal consumption will also play an important role, its
contribution to this year's economic growth will be smaller than
before, partly because of exhausted potentials for the speedy
growth in consumption and because of the limits put on the increase
of banks' loan portfolios.
State spending will have a negative real growth rate as a result of
the government's attempts to cut the fiscal deficit and the state's
share in GDP.
According to the RBA analysts, the deficit in the balance of current
accounts will move from a moderate 3.2 percent of GDP in 2001 to six
percent of GDP and finally to 4.7 percent of GDP in 2003.
(hina) ms