ZAGREB, June 11 (Hina) - Croatian Deputy Finance Minister Mijo Jukic on Friday spoke about the execution of the state budget in 1998 at the 41st session of the Croatian parliament's House of Representatives. The total budgetary
earnings in 1998 amounted to US$6.1 billion, which is 29.4 percent more than in 1997, but also 1.7 percent less than planned in last year's state budget revision. The total expenditures and loans amounted to US$5.9 billion and were 21 percent higher than in 1997, but 4.58 percent lower than planned in the budget revision. The highest tax earning in 1998 came from Value Added Tax, which brought US$2.8 billion into the budget. The highest growth was registered in income tax, which produced US$342 million, namely a 37.86 percent increase compared to 1997. As regards budgetary expenditure, the highest amount, US$1.5 billion, went for salaries. Subsidies to Croatian Railway
ZAGREB, June 11 (Hina) - Croatian Deputy Finance Minister Mijo
Jukic on Friday spoke about the execution of the state budget in
1998 at the 41st session of the Croatian parliament's House of
Representatives.
The total budgetary earnings in 1998 amounted to US$6.1 billion,
which is 29.4 percent more than in 1997, but also 1.7 percent less
than planned in last year's state budget revision.
The total expenditures and loans amounted to US$5.9 billion and
were 21 percent higher than in 1997, but 4.58 percent lower than
planned in the budget revision.
The highest tax earning in 1998 came from Value Added Tax, which
brought US$2.8 billion into the budget. The highest growth was
registered in income tax, which produced US$342 million, namely a
37.86 percent increase compared to 1997.
As regards budgetary expenditure, the highest amount, US$1.5
billion, went for salaries. Subsidies to Croatian Railways,
agriculture, and tourism, and current transfers amounted to US$1.4
billion. A significant sum was transferred to extra-budgetary
funds, for instance US$514 million to the pension fund.
The deputy finance minister paid special attention to
macroeconomic surroundings in 1998. He pointed to a negative trend
in economic growth, especially in the last trimester; it revolved
around six percent until August, but subsequently dropped. The
preliminary estimate of the average growth in 1998 is 2.7 percent.
The volume of the industry output increased by 3.7 percent, but a
drop was registered in the second half of the year, Jukic said. Due
to the introduction of VAT, inflation in 1998 amounted to 5.7
percent.
Jukic believes the negative trend in economy was the result of a
more difficult access to foreign capital markets, problems in the
banking sector, and in illiquidity.
The negative economic growth rate has continued in the first
quarter of this year and according to preliminary estimates it
revolves between 1.5 to two percent, Jukic said, but added
stabilisation was expected.
The industrial output trend in February indicates a possible
recovery which, thus Jukic, could occur in the second half of the
year.
The deputy finance minister stressed the main goal of macroeconomic
policy was the maintenance of stability of prices and of the
currency rate.
(hina) ha