ZAGREB, Jan 24 (Hina) - The Croatian National Bank (HNB) expects positive changes in the economy to resume this year so that the Gross Domestic Product rate could grow by four and the export rate by nine percent, HNB Governor Zeljko
Rohatinski told the parliament on Wednesday. Explaining HNB's financial plan at the House of Representatives, Rohatinski said this year's profit of the central bank should amount to 456 million kuna (about US$55.82 million), which is 27.5 percent more than last year. He added this amount was potential budgetary revenue. Rohatinski also expects HNB's foreign currency reserves to increase by US$270 million and the budgetary deficit to decrease from 6.7 to 5.2 percent of GDP. He also expects the deficit in the balance of payments to decrease from 4.5 to 3.8 percent of GDP. If these conditions are met, the central bank will defend the kuna exchange rate and keep the inflation ra
ZAGREB, Jan 24 (Hina) - The Croatian National Bank (HNB) expects
positive changes in the economy to resume this year so that the
Gross Domestic Product rate could grow by four and the export rate
by nine percent, HNB Governor Zeljko Rohatinski told the parliament
on Wednesday.
Explaining HNB's financial plan at the House of Representatives,
Rohatinski said this year's profit of the central bank should
amount to 456 million kuna (about US$55.82 million), which is 27.5
percent more than last year. He added this amount was potential
budgetary revenue.
Rohatinski also expects HNB's foreign currency reserves to
increase by US$270 million and the budgetary deficit to decrease
from 6.7 to 5.2 percent of GDP. He also expects the deficit in the
balance of payments to decrease from 4.5 to 3.8 percent of GDP.
If these conditions are met, the central bank will defend the kuna
exchange rate and keep the inflation rate at the projected level of
less than 4.5 percent, he said announcing that the HNB would
continue its policy of reducing obligatory reserves.
In a short debate, all deputies supported the HNB financial plan for
2001 without major objections. However, a vote on the plan was not
taken due to lack of quorum.
Before the debate, the lower house adopted eight laws confirming
international agreements, including the one on social insurance
signed with Bosnia-Herzegovina.
During the debate, the MPs stressed the difficult position of
pensioners who had earned their pensions in Bosnia-Herzegovina but
lived in Croatia. They agreed that those pensioners should be
assisted through the system of social care until the Bosnia-
Herzegovina pension fund started fulfilling its obligations toward
them.
A heated debate was caused by the opinion of the Committee on
Adjustment regarding bills, which, in line with constitutional
changes, are adopted by both parliamentary houses. The Committee
made a list of as many as 16 bills, including the ones on Croatian
Radio Television, labour, defence, textbooks, health insurance
etc.
After the debate, it was decided that the Committee on Adjustment
should shorten its list of bills which are to be decided about by
both houses.
The lower house resumed its session with a debate on a bill on the
bases of the foreign currency system, foreign currency
transactions and gold turnover.
(hina) sb rml