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PERSONAL SPENDING RAISES EXPECTED GDP GROWTH

ZAGREB, Sept 6 (Hina) - Analysts at the Privredna Bank Zagreb (PBZ) corrected the expected growth rate of the Gross Domestic Product (GDP) for this year from 3.1 to 3.7 percent.
ZAGREB, Sept 6 (Hina) - Analysts at the Privredna Bank Zagreb (PBZ) corrected the expected growth rate of the Gross Domestic Product (GDP) for this year from 3.1 to 3.7 percent. #L# Martina Dalic, the head economist in PBZ, in the August edition of "Makroekonomskih prognoza" (Macroeconomic Forecasts)by the PBZ notes that the growth of the GDP could be affected by personal spending, the growth of investments and possible increases in exports, primarily of ships, and finally due to a good tourist season. Investments in the first three months increased en par with international rates of 9.4 percent, while at the same time the index growth of the physical scope of construction works increased by 10.5 percent. In the second quarter, there was increased growth in construction and so in April and July the interim rate in that sector amounted to an average of 15.4 percent. Keeping in mind planned investment projects by the state, particularly the infrastructure, next year's investments could be one of the most dynamic categories of the GDP, and so the growth rate of the GDP for 2003 could be about 3.5 percent, the PBZ estimated. (hina) sp lml sb

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