ZAGREB, July 26 (Hina) - In the first six months of 2001, Croatia's state budget deficit amounted to 4.38 billion kuna, therefore it is more than necessary that the government takes measures for the solving of this problem and
adjusting budgetary revenues and expenses, it was stressed at Thursday's session of the Croatian government, which was informed of basic economic trends and the budget execution in the first six months of this year.
ZAGREB, July 26 (Hina) - In the first six months of 2001, Croatia's
state budget deficit amounted to 4.38 billion kuna, therefore it is
more than necessary that the government takes measures for the
solving of this problem and adjusting budgetary revenues and
expenses, it was stressed at Thursday's session of the Croatian
government, which was informed of basic economic trends and the
budget execution in the first six months of this year.#L#
Budgetary revenues in the first six months amounted to 20.1 billion
kuna, namely 40.6 percent of this year's plan, while expenses
amounted to 24.5 billion kuna or 49.9 percent of the planned.
We have the state budget under full control, the country is solvent
and is fulfilling its obligations in line with the plan, Finance
Minister Mato Crkvenac said. According to him, the greatest problem
is an increase of the budgetary deficit. The government will have to
focus on this in the upcoming period, Crkvenac said at the last
session of the government before the summer break.
Croatia's total external debt late last year amounted to US$10.9
billion and this year it increased by US$450 million to US$11.3
billion. A half of the external debt refers to the state.
Croatia's indebtedness is bearable, acceptable and tolerant,
Crkvenac assessed. He stressed however, "a red light is being
turned on in a way", because the trend of indebtedness must not
continue.
The Finance Minister commented on the appreciation of Croatia's
national currency kuna. Crkvenac said that a further appreciation
trend had been stopped adding the government was ready to ready to
react should the kuna continue to appreciate.
Commenting on economic movements, Crkvenac said the revival of
economic activities continued.
Tourism Minister Pave Zupan Ruskovic said in the first six months
the number of overnight stays increased by 21.2 percent. Of this
number the number of overnight stays realised by foreign tourists
increased by 25 percent, while overnight stays realised by domestic
tourists increased by 25 percent. According to estimates, the
increase will amount to 10 to 15 percent at the end of the tourist
season, Zupan Ruskovic said.
The government also formed a coordination for removing
administrative obstacles for investments, headed by deputy Prime
Minister Slavko Linic.
The government forwarded a bill the domestic payment system to the
parliament's procedure.
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