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GOVT'S TOUGHEST PART OF THE WAY IS OVER -- PRIME MINISTER (EXTENDED)

ZAGREB, Jan 3 (Hina) - Commenting on the work of the government so far, Prime Minister Ivica Racan said on Thursday that the toughest part of its way was over. I think the most difficult section of the road is behind us. Concepts for and carrying out some new reforms which are to come will be done with less resistance than was the case in the first half of the government's mandate, Racan sad during a pause in Thursday's regular government closed-door session. We are aware that we have accomplished something by moving away from the abyss and the crisis which shook Croatia two years ago. We made difficult decisions to secure development, and the results will be seen, Racan said speaking about the beginnings of his government's work. This year too, the government's goal will be the preservation of the high level of growth (around 4%), and to show that the battle for employment has entered its decisive s
ZAGREB, Jan 3 (Hina) - Commenting on the work of the government so far, Prime Minister Ivica Racan said on Thursday that the toughest part of its way was over. I think the most difficult section of the road is behind us. Concepts for and carrying out some new reforms which are to come will be done with less resistance than was the case in the first half of the government's mandate, Racan sad during a pause in Thursday's regular government closed-door session. We are aware that we have accomplished something by moving away from the abyss and the crisis which shook Croatia two years ago. We made difficult decisions to secure development, and the results will be seen, Racan said speaking about the beginnings of his government's work. This year too, the government's goal will be the preservation of the high level of growth (around 4%), and to show that the battle for employment has entered its decisive stages, Racan said. He announced the continuation of started reforms in the economy, health and pension insurance, the reorganisation of the Croatian Armed Forces, and the reform of the justice system. As soon as in the first half of this year, the government expects to see two directions of activities to meet paths -- curbing unemployment and accelerating employment. The government is certain that by this it will show that the battle for employment has entered its decisive stages, the prime minister said. He announced the continuation of other strategic projects -- the construction of the Zagreb-Split highway, and some other ones. All government members, Racan said, are resolute in continuing cooperation with the world, preserving the state's macroeconomic stability, show social partners that the signed social pact is not just a piece of paper. The prime minister thanked citizens for their persistency and understanding for the government's actions, stressing that citizens bear the greatest burdens. In reply to reporters' questions, Racan confirmed that Croatia needed a true consensus on several strategic issues -- cooperation with the world, the defence of the country's independence and development. The fortunate circumstance is that true consensus did exist concerning crucial issues, he stressed. The government is not discussing changing its technical organisation, because changes in the concepts of the state administration and executive authority were not to be done in the middle of the government's mandate, Racan said, adding that deeper reforms would begin as of the end of the year. Asked about possible personnel changes in the government, he reiterated they depended on the situation in the five-party coalition and individual parties, but added that the government did not discuss the issue today. The government does not intend to change the rights of the employed, but future forms of more flexible employment will be discussed. Social partners will be discussing what to do to increase employment flexibility and not to stop development, as well as what is to be done to gauge every form of work, Racan said. (hina) lml

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