ZAGREB, Oct 24 (Hina) - Next year Croatia will incur a maximum debt of 8.5 billion kuna (approx. $1.01 billion), of which the majority, 6.5 billion, on the foreign capital market, Finance Minister Mato Crkvenac said on
Wednesday.
ZAGREB, Oct 24 (Hina) - Next year Croatia will incur a maximum debt
of 8.5 billion kuna (approx. $1.01 billion), of which the majority,
6.5 billion, on the foreign capital market, Finance Minister Mato
Crkvenac said on Wednesday.#L#
The foreign debt should cover immediate international liabilities
which have to be paid next year. On the domestic market, the state
will place approximately two billion kuna worth in securities in
connection with the pension reform, the minister told a round table
organised by the Croatian Association of Banks.
After a recent placement of 1.5 billion kuna worth in bonds, the
state plans on placing between 700 million and 1.5 billion more on
the domestic market in November, for a seven-year period.
Crkvenac told the bankers they could help the government's
development-based orientation by supporting a more stable long-
term development, namely by supporting new products and the
conquering of new markets, and by supporting current production.
The finance minister estimates next year's economic growth will
reach 3.5 percent, but is expected to exceed that figure. The
drafting of a state budget for 2002 is nearing completion, Crkvenac
said, announcing a decrease of the budgetary deficit from 9.5
billion to 7.5-8 billion kuna.
Speaking about the government's guidelines for next year, Crkvenac
emphasised openness, competitiveness, stability and security. The
government will pay special attention to employment, a more
flexible labour market, and sustaining development by supporting
export and reviving investments.
($1 = 8.4 kuna)
(hina) ha sb