INDEX FORECASTS CONTINUING PRODUCTION GROWTH

( Editorial: --> 7212 ) ZAGREB, Jan 26 (Hina) - The CROLEI index forecasts a continuing increase in industrial production and global economic activity in Croatia in the first three months of 1998, the Croatian Ministry for Finance said Monday. The CROLEI grew over ten consecutive months last year. Industrial production might have been exposed to possible negative non- economic effects over the Christmas holidays but this did not affect the index's growing tendency. CROLEI is a composite index which maintains the movement of 12 indicators known to forecast short-term trends in economic activity in Croatia. The indicators include: real net wages for workers in the non- agricultural sector, realised needs for workers in the month, users of pecuniary compensation because of unemployment, the number of workers on construction sites, the total number of tourist overnight stays, retail sales, retail inventories, non- consolidated government revenue in the state, county and municipal budgets, the total mass of net wages, the population's earnings from the sale of products and services, total M4 money supply liquidity and investment. (Hina) jn ha/mb 261600 MET jan 98