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FINANCE MINISTER REFUTES CLAIMS OF CROATIA FACING BANKRUPTCY

ZAGREB, March 16 (Hina) - Croatian Finance Minister Mato Crkvenac on Thursday refuted allegations that Croatia was facing bankruptcy. "I deny any catastrophism, any bankruptcy, any danger hanging over Croatia," Crkvenac told Hina commenting on a heated parliamentary debate on this year's draft state budget, which among representatives of the Social Democratic Party (SDP) and the Opposition's Croatian Democratic Union (HDZ) yielded assessments that "Croatia is facing bakruptcy." The finance minister said such assessments were "harsh words", adding some of his own statements had also been used to that end. Crkvenac distanced himself from claims on the "state's bankruptcy", fully aware of the effect they have on citizens. He agreed with Djuro Njavro of the HDZ who said Croatia could not have issued government bonds if it were facing bankruptcy. SDP MPs yesterday accused the
ZAGREB, March 16 (Hina) - Croatian Finance Minister Mato Crkvenac on Thursday refuted allegations that Croatia was facing bankruptcy. "I deny any catastrophism, any bankruptcy, any danger hanging over Croatia," Crkvenac told Hina commenting on a heated parliamentary debate on this year's draft state budget, which among representatives of the Social Democratic Party (SDP) and the Opposition's Croatian Democratic Union (HDZ) yielded assessments that "Croatia is facing bakruptcy." The finance minister said such assessments were "harsh words", adding some of his own statements had also been used to that end. Crkvenac distanced himself from claims on the "state's bankruptcy", fully aware of the effect they have on citizens. He agreed with Djuro Njavro of the HDZ who said Croatia could not have issued government bonds if it were facing bankruptcy. SDP MPs yesterday accused the HDZ "of bringing the state close to bankruptcy through its decade-long policy," which MPs of the formerly ruling party resolutely denied. Crkvenac said it was true the state had fallen onto hard times over the past ten years, party due to the war and partly to HDZ's policy. "Bankruptcy is a word which could be applied to Croatia had Croatia not taken a new direction, had it stayed in auto-isolation. But the situation in Croatia is from no aspect such that we should be talking about bankruptcy," the minister said. We do have debts, unemployment, illiquidity, companies in great difficulties, but that does not mean we are giving up, Crkvenac said, adding the government had a programme and the possibility to eliminate the difficulties. He estimates it will take Croatia two years to come out of the difficult situation, and that improvement can be expected as early as 2001. "Croatia is not without prospects," he said, reminding of the good placement of government bonds on the market. The government is on the best way to realise a series of projects bringing capital into Croatia, the finance minister said. (hina) ha jn

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