ZAGREB, Nov 17 (Hina) - The Croatian parliament House of Representatives on Friday adopted a government motion on a revision of this year's budget, in line with which the overall expenditures would be increased from 48.3 to 50.6
billion kuna. The Social Democratic Party bench supports the revision because since the adoption of this year's budget, Dubravka Horvat said, the Government has undertaken a number of measures to ameliorate the difficult social circumstances and to return the great amount of inherited debts. This revision is in fact a revision of the situation in the economy created in the past ten years, when the biggest problems occurred in the pension and health insurance funds, Dino Debeljuh of the Istrian Democratic Assembly said. Encouraging is the data on the growth of the gross domestic product and industrial production, which shows that, despite bankruptcies, the economy is improving, he added. The Democrati
ZAGREB, Nov 17 (Hina) - The Croatian parliament House of
Representatives on Friday adopted a government motion on a revision
of this year's budget, in line with which the overall expenditures
would be increased from 48.3 to 50.6 billion kuna.
The Social Democratic Party bench supports the revision because
since the adoption of this year's budget, Dubravka Horvat said, the
Government has undertaken a number of measures to ameliorate the
difficult social circumstances and to return the great amount of
inherited debts.
This revision is in fact a revision of the situation in the economy
created in the past ten years, when the biggest problems occurred in
the pension and health insurance funds, Dino Debeljuh of the
Istrian Democratic Assembly said. Encouraging is the data on the
growth of the gross domestic product and industrial production,
which shows that, despite bankruptcies, the economy is improving,
he added.
The Democratic Centre party bench supports the review because,
Djuro Njavro said, this is a technical operation which is a
recognition of reality. If we want to sustain the stability of state
finances, it is necessary to speed up the reform of the pension and
health insurance funds, he asserted.
Ivan Suker of the Croatian Democratic Party agreed the reform was
necessary, but disagreed this was a technical review if expenditure
was to be increased by 2.3 billion kuna. Adding the payment of
debts, this year's budget is by nine per cent increased in relation
to last years, he said. HDZ MPs abstained from voting on the
motion.
MPs of the Croatian Party of Rights and Croatian Christian
Democratic Party endorsed the budget revision. However, Tonci
Radic warned, the budget was being covered with the selling of state
property, and in three years there will be nothing more to sell.
At the end of the discussion, Finance Minister Mato Crkvenac
stressed the Government was speedily working on preparations for
the reform of the pension and health insurance plans.
A big problem is returning debts to pensioners, so 2.2 billion kuna
will be set aside from the budget for this purpose, which is a great
burden for the budget, he said.
We will thus continue diminishing public expenditure, as this is
the only way to stimulate the economy and employment, Crkvenac
stressed.
The House of Representatives also adopted a bill on the
implementation of the budget.
(hina) lml