GOVERNMENT MEMBERS ATTEND KARLOVAC COUNTY ASSEMBLY SESSION

KARLOVAC, April 12 (Hina) - Croatian Deputy Prime Minister Drazen Budisa said at Friday's ceremonious session of the Karlovac County Assembly that good macroeconomic conditions had been created in Croatia for solid foreign exchange reserves and credit rating, as well as a solid national currency, as preconditions for a stable economic development. #L# Finance Minister Mato Crkvenac pointed out some progress achievements, mentioning the economy growth rate of four percent, inflation of only 2.6 percent, halved state finances deficit in comparison to 1999, and increased foreign exchange reserves. With the favourable assessments of world financial institutions which increases Croatia's rating, investment risk is decreasing daily, and business coming closer to European standards, Crkvenac said. He also commented on the weaknesses, saying that Croatian economy was not sufficiently export oriented, companies insufficiently capable of functioning to conquer new markets, managers insufficiently successful, state administration and justice system were not doing their best, but "it is good that we are aware of all the weaknesses". The government is certain that the started reforms must continue, he said. (hina) lml sb