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FINANCE MINISTER SAYS DRAFT BUDGET IS REALISTIC AND BALANCED

ZAGREB, Dec 17 (Hina) - The draft state budget for 1999 (amounting +to US$7.7 billion) is realistic, balanced and guarantees economic +and social stability, Croatian finance Minister Borislav Skegro +said at Thursday's session of the Croatian National Sabor's House +of representatives.+ Commenting on a discussion by MPs of party benches, Skegro said +there is no budgetary item for which some MPs did not request a fund +increase, and a decrease by others.+ Skegro also commented on statements by MPs who held that the budget +was to increase at a higher rate than that of the Gross Domestic +Product.+ According to information of the Finance Ministry, the GDP amounts +to between $29 billion and $32.2 billion. These estimates, he said, +are based on revenues from the Value Added Tax.+ Skegro recalled claims by MPs made last year that the introduction +of the VAT would not yield more than US$1.9 billion.
ZAGREB, Dec 17 (Hina) - The draft state budget for 1999 (amounting to US$7.7 billion) is realistic, balanced and guarantees economic and social stability, Croatian finance Minister Borislav Skegro said at Thursday's session of the Croatian National Sabor's House of representatives. Commenting on a discussion by MPs of party benches, Skegro said there is no budgetary item for which some MPs did not request a fund increase, and a decrease by others. Skegro also commented on statements by MPs who held that the budget was to increase at a higher rate than that of the Gross Domestic Product. According to information of the Finance Ministry, the GDP amounts to between $29 billion and $32.2 billion. These estimates, he said, are based on revenues from the Value Added Tax. Skegro recalled claims by MPs made last year that the introduction of the VAT would not yield more than US$1.9 billion. However, he added, as of June, $2.4 billion have been collected, and the VAT would make an 'inflow' of about US$3.2 billion this year. The suggestion by the Croatian Peoples' Party and Istrian Democratic Forum that the budget adoption be prolonged for next March is unacceptable, Skegro said. This motion is along the lines of claims that there is a crisis in the state and such circumstances that not even a budget can be adopted, he stressed. (hina) lml jn

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