ZAGREB, Dec 12 (Hina) - Parliament's House of Representatives on Tuesday evening began voting on amendments to next year's draft budget amounting to 49.67 billion kuna ($5.6 billion). Next year's budget is restrictive, which prevented
the government from agreeing to all amendments, said Finance Minister Mato Crkvenac. In its own nine amendments, however, the government adopted about one third of those moved by MPs, he added. For the third consecutive year, the budget is practically "frozen," with the government trying to increase revenue and cut spending in order to decrease the budgetary deficit, said Crkvenac. The deficit was 7.3 percent in 1999, 6.3. this year, while next year it should further drop to 5.4 percent of Gross Domestic Product. Crkvenac said the government's amendments proposed cutting some spending, but not social rights. Against the first draft budget version, the latest proposes
ZAGREB, Dec 12 (Hina) - Parliament's House of Representatives on
Tuesday evening began voting on amendments to next year's draft
budget amounting to 49.67 billion kuna ($5.6 billion).
Next year's budget is restrictive, which prevented the government
from agreeing to all amendments, said Finance Minister Mato
Crkvenac. In its own nine amendments, however, the government
adopted about one third of those moved by MPs, he added.
For the third consecutive year, the budget is practically "frozen,"
with the government trying to increase revenue and cut spending in
order to decrease the budgetary deficit, said Crkvenac. The deficit
was 7.3 percent in 1999, 6.3. this year, while next year it should
further drop to 5.4 percent of Gross Domestic Product.
Crkvenac said the government's amendments proposed cutting some
spending, but not social rights. Against the first draft budget
version, the latest proposes increasing funds for child's
benefits, additional maternity leave and equipment for new-borns
by 111 million kuna ($12.9 million).
The government also proposed increasing funds for the construction
of some roads, for instance to the southern Adriatic city of Split.
Crkvenac said the government okayed MPs objective demands that the
Justice Ministry and the government should not decide which
counties, towns and municipalities would get budgetary funds.
Using objective criteria, the government drew up a list of which
local self-government units should get the funds and in what
amounts.
This will be a just and objective way to distribute 600 million kuna
($69.8m) earmarked to financially assist the local level, said the
minister, adding the eastern martyr town of Vukovar would get the
most.
The $5.6 billion budget represents the basis for the achievement of
the government's economic objectives, to revive the economy and
increase employment.
Close to 500 amendments have been moved to the draft budget. Voting
is expected to last into the night.
(hina) ha