SDP: HDZ TRIES TO COME TO POWER WITHOUT ELECTIONS

ZAGREB, Aug 10 (Hina) - Leaders of Social Democrat (SDP), a party in the ruling coalition, on Friday held a news conference to give a series of data as to refute allegations of the opposition Croatian Democratic Union (HDZ) party about a dramatic economic ad social situation in Croatia. Mato Arlovic of SDP blamed the strongest opposition party for masterminding a job of killing average citizens' hopes " that better and more prosperous life is possible" in Croatia. Arlovic said that although the HDZ was a parliamentary party, it rather used means outside institutions, such as protest rallies and street demonstrations to solve some problems. In this context Arlovic pointed to a rally, set for 24 August, in Split. Organisers of that all-Croatian rally call on representatives of the incumbent Croatian authorities, Roman Catholic dignitaries, public figures, war veterans, and Croatian Diaspora to support the establishment of "an interim government of the national reconciliation". Arlovic explained that contrary to such appeal for the accomplishment of a purely political goal outside the institutions of system, a call for organisation of early elections would be quite legitimate. Asked by reporters whether political and social pressure could lead to the change in authorities even without new elections, for instance, through the change in the balance of powers in the parliament and the collapse of the ruling coalition, Arlovic said the SDP and its coalition partners were aware of their responsibility for what had so far been done and for what would be done in the future. "Croatia must embark on reforms as to have the efficient state administration appropriate to the number of citizens and the country's economic strength so that all of its citizens could have chances for better life," Arlovic said. Expressing regret that he must reiterate in his response tragic effects of the former HDZ rule, another SDP leader, Slavko Linic, pinned the blame on the HDZ for the impoverishment of Croatians. To corroborate his assertion, Linic cited a few data. For example, in 1990 there were 160,000 Croatians on the dole, while ten years later the number of unemployed people climbed to 360,000. The number of pensioners jumped from 650,000 to one million and twenty thousand. Therefore, those who work must pay for numerous contributions in social welfare, Linic added. He maintained that the former HDZ authorities used the war in the early 1990s as an excuse for their inability and plunder committed through privatisation. During the HDZ rule, the foreign debt rose from three to nine billion dollars, and those loans were not used for new investments or job creation. The current authorities inherited the debt of 10 billion kuna as the obligations towards cheated bank depositors and as debts in public health, Linic said. According to him, additional 15 billion kuna went as state collateral given to private companies, but this was not paid back, as such financial means were used for personal needs. Mato Crkvenac, the current finance minister, reiterated the data about an increase in the industrial output, a rise in job creation, more vivid investment activities, the removal of illiquidity and the stable monetary policy, a rise in the foreign exchange holdings, high economic stability and Croatia's improved credit rating. Citizens cannot feel the direct impact from these improvements now, but the means must be further directed into the economic growth, and some effects will be palpable in three years, Crkvenac said. Responding to claims that the current authorities were socially insensitive, Crkvenac said funds earmarked for social welfare increased by 5.3 billion as against 1999, whereas the state budget was not substantially enlarged. In addition, the HDZ authorities allocated 1.13 billion kuna for maternity leave in 1999, whereas at present those funds rose by 70 percent to two billion, Crkvenac said. (hina) ms