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PREMIER: FATE OF RULING COALITION TO BE KNOWN BY END OF WEEK

ZAGREB, July 2 (Hina) - Croatian Prime Minister Ivica Racan said on Tuesday that the fate of the ruling coalition and government would be known in several days, probably by the end of the week.
ZAGREB, July 2 (Hina) - Croatian Prime Minister Ivica Racan said on Tuesday that the fate of the ruling coalition and government would be known in several days, probably by the end of the week. #L# It has become clear that the coalition cannot function in its present make-up and in this fashion, Racan told reporters at the government building. He said that a government reshuffle was too lenient an act for solving the crisis. It is important that the government has the support of the parliament for the new coalition agreement, he said. According to unofficial assessments, one very probable possibility is that Racan will submit his resignation by the end of the week, which would mean the fall of the government. Should this happen, the president will appoint a new prime minister. The delegate should form a new government within 30 days which the parliament should confirm. If this does not happen, the president will dissolve the parliament at the beginning of August and schedule elections. The elections must be held within 60 days, which means early in October. Premier Racan indirectly confirmed these assessments, saying that if elections did occur, efforts will be made not to have them in the middle of the tourist season. Racan confirmed that he had spoken with the president and the parliament president, but decline to disclose the details of the talks. Racan also refused to speculate on the possible conduct of the Croatian Peasant' Party, which the political public sees as one of the backbones of the future coalition and government. (hina) lml sb

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