PENSIONER-EMPLOYEE RATIO IN CROATIA 1 : 1.37

ZAGREB, June 26 (Hina) - The ratio of pensioners and employees who pay pension insurance contributions in Croatia is 1:1.37, the director of the Croatian Pension Insurance Institute, Srecko Vukovic, said in parliament Thursday. #L# Submitting an annual report for 2002, Vukovic said last year's pensions had increased by 4.22% in nominal terms, and by 2.28 percent in real terms. He added that the average pension, with an additional 100 kuna and six percent, totalled around 1,700 kuna, while the average age pension with all years of service was more than 2,500 kuna. Expenses in the pension system in 2002 accounted for 13.45 percent of GDP, which indicates that the economy and state are strained to the maximum to meet the needs of the pension system, he said. The report was endorsed by benches of the ruling coalition. The Croatian Peasant Party's Ljubica Lalic recalled that in 1990 the pensioner-employee ratio was 1:3, which means the ratio has decreased 2.2 times since, and almost three times in the past 20 years. She added that the number of pensioners and workers was almost the same and that there were not enough budgetary funds for pensioners, whose allowances were not sufficient for a dignified life. Snjezana Biga Friganovic said on behalf of the Social Democrats (SDP) that the ruling coalition had done much to improve pensions, nevertheless, the situation was not satisfactory. The SDP said it was a good thing that the 100 kuna and six percent bonus for pensions had been retained. The report also received the support of the Libra bench. The opposition's Social Liberals (HSLS) abstained, while the Croatian Democratic Union said it could not accept the report, as many issues were not solved. EUR1 = 7.5 kuna (hina) lml sb