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IMF'S FLICKENSCHILD: CRO GOVT'S GOOD RESULTS

ZAGREB, Aug 7 (Hina) - Hans Flickenschild, the head of the International Monetary Fond (IMF) delegation visiting Croatia, said on Tuesday the situation in the country is not as bad as statistics show. The government accomplished good results in comparison to more developed transitional countries. Croatia's economic growth progressed, a step towards alignment of the state budget has been taken and the unemployment rate dropped, Flickenschild said after meeting Vice President of the Social-Economic Committee (GSV), Vitomir Begovic. The GSV and IMF representatives discussed social dialogue, the possibility of reaching a consensus between unions, employers and the government, and the importance of social agreement on economic and social reform. A package of social and economic measures the government should soon pass should synchronise the budget so as to decrease the deficit to BDF's 5.3 percent. Only economic growth could contr
ZAGREB, Aug 7 (Hina) - Hans Flickenschild, the head of the International Monetary Fond (IMF) delegation visiting Croatia, said on Tuesday the situation in the country is not as bad as statistics show. The government accomplished good results in comparison to more developed transitional countries. Croatia's economic growth progressed, a step towards alignment of the state budget has been taken and the unemployment rate dropped, Flickenschild said after meeting Vice President of the Social- Economic Committee (GSV), Vitomir Begovic. The GSV and IMF representatives discussed social dialogue, the possibility of reaching a consensus between unions, employers and the government, and the importance of social agreement on economic and social reform. A package of social and economic measures the government should soon pass should synchronise the budget so as to decrease the deficit to BDF's 5.3 percent. Only economic growth could contribute to a permanent decline of unemployment, Flickenschild said. He added the World Bank is preparing loans of $202 million for the stimulation of small and medium enterprises, which should, along with envisaged retraining programmes, encourage new employment in the private sector. Vitomir Begovic stressed the national interest of the parliament, government, employers and unions should be dialogue and consensus. According to Begovic, Croatia has two alternatives: to follow the social dialogue and a path towards development or to get into a social conflict and a lack of perspective. (hina) np lml

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