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GOVERNMENT DISCUSSES PROPOSED BUDGETARY REVISION

ZAGREB, Sept 26 (Hina) - With the proposed revision of the state budget for this year, total expenditure would be lower than 6.85 million euros and the expenditure for next year's budget is estimated at about 10.93 million euros which is about 0.40 million euros higher than this year's, Croatian Finance Minister Mato Crkvenac said on Thursday.
ZAGREB, Sept 26 (Hina) - With the proposed revision of the state budget for this year, total expenditure would be lower than 6.85 million euros and the expenditure for next year's budget is estimated at about 10.93 million euros which is about 0.40 million euros higher than this year's, Croatian Finance Minister Mato Crkvenac said on Thursday. #L# The execution of this year's budget and the proposed base state budget for next year were discussed on Thursday at a closed session of the government in Prekrizje Villa with all three government co- ordinating bodies - interior and foreign affairs, economy and social activities. Crkvenac informed the government's co-ordinating bodies and they principally adopted the proposed revision of this year's budget. The revision will cover increased expenditure this year for salaries for the army, police, education, science and jubilee awards. Expenditure amounted to approximately 0.19 million euros more than planned, Crkvenac said. Along with covering this expenditure, the revision will in fact realise savings of about six million euros or rather as much as the budget expenditure will be, Crkvenac pointed out. Crkvenac announced that budget expenditure for next year without foreign debts could be about 10.93 million euros (this year that was about 8 million euros). Next year it is estimated that expenditure will grow by about 0.40 million euros or 3.5 to four per cent with a real economic growth of about 5 per cent and an inflation rate of 2 to 3 per cent, he said. Crkvenac announced the continuation of fiscal politics already commenced which means relieving the economy, decreasing the deficit, decreasing debts, a fall in interest rates, and total macro-economic stability and based on that, low price increases, a stable exchange rate and dynamic economic growth. Crkvenac highlighted some concrete figures such as 40.85 thousand euros for agriculture more than this year which would then amount to about 0.31 million euros. The Finance Minister repeated that the basis for the next year's budget are a decreased deficit for the central state budget from 4.2 per cent to 2.6 per cent of the GDP and next year the general deficit for the state would decrease from 5.9 per cent to 4.5 per cent of the GDP. (hina) lml sb

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