Asked to comment on the beginning of forcible collection of tax debts from individuals and businesses, subjecting to distraint anyone whose debt exceeds HRK 2,000 (approx. 267 euros), Vrdoljak said the recession had been lasting too long and that the real sector was quite exhausted.
"The state has a big deficit and we can hardly expect it to borrow abroad at a favourable price, so the only boost we can expect is from the private sector," he added.
He said the government and the real sector should talk and find a solution to realise private capital and private investment because the private sector could boost development and not the sector with such a high deficit.
"Today we are thinking how to save fiscal consolidation, return the deficit to three per cent, and not about a New Deal by the public sector. A New Deal and new development can only come with private capital and private investment."
Asked if the forcible tax collection and distraint were blocking the private sector, the minister said everyone should respect the law and pay taxes, including the private sector, but the state must offer them a service so that they could be as fast and efficient as possible.
Asked to comment on the forecast by Hypo bank analysts that GDP would contract 1.25% and not 1.5% as earlier predicted but that the recession would continue for the rest of the year, Vrdoljak said the government's goal remained a zero rate this year and a positive turnaround in 2014, which he said would also depend on trends in the euro zone.