Speaking of the deep crisis present in Croatia for four years now, Regional Development and EU Funds Minister Branko Grcic said there was no more room for spending above possibilities and that the government can borrow only for investments.
We are for reforms but not for flippant arguments such as slashing the budget by HRK 20 billion, Grcic said, wondering how such a cut could be made.
The government's strategy includes fiscal consolidation, cutting the deficit and the public debt, and structural reforms and investments, he said, adding that new investments were the only way out of the current economic situation.
This year's investments are projected at HRK 65 billion - 50 billion by the private sector and 15 billion by the public sector, said Grcic.
The government will continue to help investments and has so far unblocked four projects by private investors worth HRK 1.5 billion total, and plans to unblock four more, he added.
(EUR 1 = HRK 7.6)