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CROATIAN VICE-PREMIER MEETS IMF OFFICIAL

WASHINGTON, Oct 2 (Hina) - Croatian Deputy Prime Minister Slavko Linic met in Washington on Tuesday the director of the International Monetary Fund's Europe department, Michael Deppler, to discuss the possibility of Croatia signing a new stand-by arrangement with the IMF and its contents.
WASHINGTON, Oct 2 (Hina) - Croatian Deputy Prime Minister Slavko Linic met in Washington on Tuesday the director of the International Monetary Fund's Europe department, Michael Deppler, to discuss the possibility of Croatia signing a new stand-by arrangement with the IMF and its contents. #L# The purpose of the meeting was to clarify as many details as possible before the visit of an IMF mission to Croatia on October 24. Linic said that the Croatian government wanted to achieve the best possible economic results in the last year of its mandate. Deppler was informed about economic developments in Croatia and said he appreciated Croatia's readiness to continue cooperating with the IMF. Like other IMF officials he confirmed that Croatia had good macroeconomic frameworks and was achieving satisfactory economic results. The country's problems refer primarily to the amount of debts and deficit, which Deppler said accounted for more than three percent of GDP. Croatia will have to decrease state and public spending and the state-financed wage budget as well as reorganise the army, regulate the labour market, introduce bank supervision, etc. The talks with Deppler have confirmed that apart from the usual economic conditions for the signing of a stand-by arrangement, the IMF has no other demands on Croatia. (hina) rml

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