ZAGREB, Dec 19 (Hina) - A special issue of "Privredni Vjesnik" (The Business Gazette) - "Business expectations in 2002", and the results of the traditional opinion poll "To export or to stagnate", conducted among 38 businessmen, was
presented at the Croatian Chamber of Commerce Wednesday. Commenting on the results of the opinion poll, Zarko Primorac said 65 percent of the interviewed businessmen saw exports as a way out of the current situation. He warns that exports have been stagnating for the past decade, ranging between USD4.2 and 4.5 billion, which in real terms is less than in 1990. Croatia's exports amount to US$1,000 per capita, while Slovenia's amount to US$4,000, the export of technologically more advanced products has been decreasing, etc. Primorac also points out that the kuna is overvalued. He believes a sudden depreciation would not be a good solution as it would threaten the stabil
ZAGREB, Dec 19 (Hina) - A special issue of "Privredni Vjesnik" (The
Business Gazette) - "Business expectations in 2002", and the
results of the traditional opinion poll "To export or to stagnate",
conducted among 38 businessmen, was presented at the Croatian
Chamber of Commerce Wednesday.
Commenting on the results of the opinion poll, Zarko Primorac said
65 percent of the interviewed businessmen saw exports as a way out
of the current situation. He warns that exports have been
stagnating for the past decade, ranging between USD4.2 and 4.5
billion, which in real terms is less than in 1990. Croatia's exports
amount to US$1,000 per capita, while Slovenia's amount to US$4,000,
the export of technologically more advanced products has been
decreasing, etc.
Primorac also points out that the kuna is overvalued. He believes a
sudden depreciation would not be a good solution as it would
threaten the stability of the kuna without significantly
increasing exports, and use up the existing export reserves (10-15
percent).
He therefore advocates a policy of depreciation over a longer
period of time, including a projection of a restructured monetary
policy for a period of seven to 10 years.
Damir Vrhovnik, director of the shipyard "Viktor Lenac", said the
policy of depreciation in the next several years should be made
public as part of an overall strategy of stimulating exports and
accelerating the country's development.
Primorac says another problem of the export policy is the lack of
export products, for which Croatian companies, with some
exceptions, lack the critical amount of knowledge and resources.
Export industrial products require encouraging foreign
investments in industry and long-term investments of at least 1.5
percent of the Gross Domestic Product (BDP) in research and
development.
Primorac believes tourism, transport, freight forwarding, ports
and related sectors can have a special role in stimulating exports,
adding these sectors had the necessary potential but lacked
programs and experts.
"Privredni Vjesnik" has been conducting the "Business
Expectations" poll for 26 years. The results will be submitted to
the government.
(hina) np sb