STABLE ECONOMIC GROWTH IN CROATIA EXPECTED IN 1996

ZAGREB, March 8 (Hina) - "All signs are pointing to a secure and stable growth of Croatian economy in 1996," representatives of an International Monetary Fund (IMF) mission said after a sequence of talks with Croatian officials. A draft "extended agreement" between Croatia and the International Monetary Fund had been drawn up, the mission's head Bob Feldman, told a press conference, adding that the draft agreement should last three years. The agreement defined macroeconomic policy and a number of structural measures which should be taken in the period of three years, Feldman said. #L# "We hope that the growth of economy will be around 5%, possibly more," Feldman said. Croatia had achieved an important success in the stabilization and establishment of its monetary and fiscal control as well as in fixing exchange rates, decimating inflation and recovering gross domestic product after a difficult period of high inflation. Compared to other countries in transition, the results Croatia achieved should be considered in a specially good light, Feldman said. The progress should be continued so as to ensure a stable and secure growth of economy along with low inflation (some 3%, or even lower in 1996) as well as to resolve relations with foreign creditors and the general internal financial reorganization, Feldman said. A successful tourist season as well as an increase of export and implementation of agreed economic policy would boost the Croatian economical development, representatives of the IMF mission and the Croatian government agreed. (hina) lm jn 081555 MET mar 96