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CROATIAN PARLIAMENT BEGINS DISCUSSION ON BUDGET REVISION

ZAGREB, Sept 10 (Hina) - The proposed revision of the national budget will enable a reduction of the deficit and the debt this year, while at the same time no new taxes will be introduced and no efforts will be made to prevent implementation of any major project that has been agreed, Deputy Finance Minister Damir Kustrak said on Wednesday, presenting the amendments to the national budget in parliament.
ZAGREB, Sept 10 (Hina) - The proposed revision of the national budget will enable a reduction of the deficit and the debt this year, while at the same time no new taxes will be introduced and no efforts will be made to prevent implementation of any major project that has been agreed, Deputy Finance Minister Damir Kustrak said on Wednesday, presenting the amendments to the national budget in parliament. #L# Income and expenditure will remain as planned, because the revision envisages a redistribution of 2.45 billion kuna of budgetary funds to ministries that had unforeseen expenses, he said. Domestic and foreign borrowing is expected to decrease substantially following unexpectedly high profits of about 750 million kuna from privatisation this year, Kustrak said, adding that investment in export, envisaged by the revised budget, would also contribute to this. Kustrak said that the revision was necessary to cover the damage caused by the drought and to encourage employment. He added that 400 million kuna would be earmarked for the consequences of the drought, about 200 million kuna for employment incentives and several hundred million kuna for severance pay and outstanding salaries of employees in the interior and defence ministries and the armed forces, payment of pensions to people in republics of the former Yugoslav federation, and reforms in the armed forces and the judiciary. About 75 million kuna has been envisaged for this year's parliamentary elections, and several million kuna would be redistributed to cover the costs of elections for national minority councils, the participation of Croatian troops in the peacekeeping mission in Afghanistan, and firefighting planes. The amendments are being discussed by parliamentary clubs of deputies. (1 EUR = 7.5 kuna) (hina) vm

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