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CRO PRIME MINISTER SPEAKS OF GOVERNMENT RECONSTRUCTION

ZAGREB, April 14 (Hina) - Croatian Prime Minister Zlatko Matesa at Tuesday's press conference introduced a bill on the structure and activities of ministries and state directorates, as well as amendments to the law on the government administration system which the Government had forwarded to the Croatian National Sabor. Matesa also announced a budget revision by summer. According to this, the Government would have four vice-presidents instead of the current five. The Ministry of Privatisation and the Ministry of Economy would merge, as well as the Ministry of Immigration and the Ministry of Reconstruction and Development. According to the changes, the Ministry of Administration would become a state administrative body. According to the Prime Minister, instead of the current 20 ministries, in the future there would be 17. Instead of ten state administrative bodies there would be nine, and inste
ZAGREB, April 14 (Hina) - Croatian Prime Minister Zlatko Matesa at Tuesday's press conference introduced a bill on the structure and activities of ministries and state directorates, as well as amendments to the law on the government administration system which the Government had forwarded to the Croatian National Sabor. Matesa also announced a budget revision by summer. According to this, the Government would have four vice-presidents instead of the current five. The Ministry of Privatisation and the Ministry of Economy would merge, as well as the Ministry of Immigration and the Ministry of Reconstruction and Development. According to the changes, the Ministry of Administration would become a state administrative body. According to the Prime Minister, instead of the current 20 ministries, in the future there would be 17. Instead of ten state administrative bodies there would be nine, and instead of 14 government's offices there would be 11. According to Matesa, current vice-presidents, Ljerka Mintas- Hodak, Borislav Skegro, Jure Radic and Mate Granic, would remain in their offices. The Prime Minister proposed Ivan Herak as the new Tourism Minister and Zvonimir Separovic as the new Minister of Justice. Former Justice Minister Milan Ramljak resigned to his duties. Matesa said that Immigration Minister Marijan Petrovic filed a request for retirement in December 1998, and current Minister of Tourism Sergej Morsan is to take up the ambassadorship to the Federal Republic of Yugoslavia. Economy Minister Nenad Porges will head the merged ministries of economy and privatisation, while the current Minister of Privatisation Milan Kovac will remain minister's status and will be in charge of the implementation of the Dayton Agreement and the Washington Accord, namely of the cooperation between Croatia and the Federation of Bosnia-Herzegovina, particularly of implementing the Agreement on Special Relation between Croatia and the Federation of Bosnia-Herzegovina. The Prime Minister announced a budget revision by the summer. In newly created circumstances caused by NATO strikes on Yugoslavia, the Croatian economy is facing difficulties regarding foreign investment to Croatia, Matesa added. In that regard, we must redefine our strategic economic goals to maintain the economic stability, Matesa said, adding that it meant that the budget revision would help reduce public expenditure. The Government will not derogate anything, salaries and pensions would not be cut, and would be paid out on a regular basis, the Prime Minister said. He added the Government would forward a proposal to the Sabor to reduce salaries of state officials by 20 percent. When asked if he would resign from his duties due to public pressure, Matesa said that resignation would be considered normal procedure if at a particular moment he believed he was not able to perform his duties adequately. Given that at the moment this is not the case, I have no reason for resignation, the Prime Minister concluded. (hina) it/jn sp

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