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Finmin says measures because of EDP won't be at citizens' expense

BRUSSELS, Nov 15 (Hina) - The Croatian government will prepare a series of measures by January because of Croatia's entry into the Excessive Deficit Procedure (EDP) focused on launching investments and long term reforms to stabilise budget expenditures, but not at citizens' expense, Finance Minister Slavko Linic said on Friday.

"That's what the government will have ready by January and what the European Commission's measures will be, we can't assume at this moment," he told reporters in Brussels, where he took part in a meeting of European Union finance ministers.

The European Commission intends to recommend to the Council of the EU the opening of an EDP for Croatia, considering that the deficit in Croatia is significantly above the maximum debt allowed of three per cent and public debt next year is expected to exceed 60% of gross domestic product.

Linic said Croatia was entering the EDP because of a too high deficit and public debt, "long term disturbances in the budget, but also because of extraordinary causes. Croatia has not had economic growth for five years now."

Asked how the announced measures would impact citizens, he said the Commission was aware that "citizens are poor enough as it is and in a really difficult position... Apart from the problems we have in the budget, over the last two years we made sacrifices for the economy, for the economy's competitiveness, but there is no more room for that and we are aware that more burden on citizens is no longer possible."

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