GOVERNMENT'S TASKS IN 2002

ZAGREB, Feb 7 (Hina) - The continuation of adjustments to European standards so that, by the end of the year at the latest, conditions could be met for candidacy for Croatia's full membership in the EU, the completion of preparations for the construction of the Zagreb- Split highway, stimulation of employment, reform of the defence system, reform of the justice, education systems, are some of the tasks the government set for this year. At Thursday's session the government analysed its work in the first half of its mandate and accepted chief programme tasks for 2002. The government formulated the tasks in 42 items, envisaging, among else, the continuation of decentralisation, the reform of territorial organisation and the intensifying of social partnership. The government set as a task for this year to maintain the trend of economic growth, the reform of the stimulative system, a new system of loans for agriculture and the continuation of the reconstruction programme which would include 12,000 housing facilities. Deputy Premier Goran Granic stressed that the tasks accentuated the significance of social partnership. A novelty is also the announcement that the government would, ahead of talks with the International Monetary Fund and the World bank, discuss with social partners the platform for a new arrangement with the institutions. Finance Minister Mato Crkvenac said there was no reason for relations with international financial institutions to be discussed in parliament or its bodies. All documents with social partners have already been published the first day they were adopted, he said. Foreign Minister Tonino Picula hopes that Croatia will this year "say thank you and goodbye to the UN mandate on Prevlaka and the monitoring of the Organisation for Security and Cooperation in Europe". He called for more sensibility in settling relations with neighbours. Summarising its two-year work, the government and its ministers assessed that it had accomplished more than had been expected. The ministers stressed that the economic growth was higher than the average of other transitional countries, interest rates dropped drastically in the past two years, shopping abroad had decreased by 300%, and the stability of the kuna was maintained. The chief problem still remains the high rate of unemployment. Public Works Minister Radimir Cacic said that the past two years salaries grew by 0.7 percent last year, while two years ago by two percent. Citizens are inclined to react to the consequences, but are having trouble noting the causes, which is normal, Cacic said, adding that the people accepted the government's programmes well, such as the socially stimulative house building. Vice Premier Slavko Linic said that in the past two years the conditions for Croatia's economic development had been met. Four hundred companies have gone bankrupt, while 600 were privatised, he added. Granic stressed that the government's further actions should begin with elements of stability. A further significant headway for Croatia's economy could only be founded on Croatia's stability, since instability could completely block processes, and truncate some reforms, Granic said. (hina) lml