Kosor Satisfied with Economic Recovery

The economic recovery program is being successfully implemented, emphasized Prime Minister Jadranka Kosor at a press conference in Banski Dvori. We have the obligation and a permanent principle that all measures of the Program must be implemented to the end and without giving up. Only such measures can guarantee that we will overcome the problems we face, said the Prime Minister.

She stated that we have problems, but because of them, we can be as worried as we are  optimistic. We have the obligation and a permanent principle that all measures of the Program must be implemented to the end and without giving up. Only such measures can guarantee that we will overcome the problems we face, said the Prime Minister. She stated that we have problems, but because of them, we can be as worried as we are optimistic. The Prime Minister said that the Program has received support from all relevant economic experts, the economic team of President Josipović, the IMF, the HNB, the HGK, the World Bank, and the GSV. She highlighted as particularly important the abolition of the first rate of the crisis tax from July 1 and the second rate from November 1. In line with reducing expenditures, we made a decision to reduce funds for political parties, the Law on the Rights of Officials and Members of Parliament has been amended (transport funds for MPs have been abolished), and we have tightened the provisions for the use of official cars and mobile phones. All these changes will be reflected in the budget rebalance, which will occur soon, emphasized the Prime Minister.

In response to the demands of the Employers’ Association, we made decisions related to tax relief for the economy. Contributions for water, forests, monument rents, and contributions to tourist boards have been reduced. She expressed confidence that these decisions will quickly reflect on their business. In line with reducing expenditures, we made a decision to reduce funds for political parties. The Law on the Rights of Officials and Members of Parliament has been amended – transport funds for MPs have been abolished. We have tightened the provisions for the use of official cars and mobile phones. All these changes will be reflected in the budget rebalance. A law on fiscal responsibility is being drafted. We have made decisions that will introduce order in the use of blue diesel so that it is used only by those who truly need it. As important facts, she mentioned that the office for public procurement has been established, and a law on fiscal responsibility is being drafted.

She also announced a new model for managing public property. According to her, a particularly important contribution of the government to reviving the economy is resolving illiquidity. The debt to suppliers is around 400 million kuna, and we believe that with additional measures we will be able to fully reduce that debt by the end of this month. As a good example of government actions, she cited HEP – reduced debts, increased profits. This, says the Prime Minister, will affect the electricity price increase, which must occur, will not be as much as it would have been if the situation had remained as last year. She mentioned the reduction of privileged pensions and new tax rates, according to which, she claims, 1.5 million people will have higher incomes. Adding to this the abolition of the crisis tax, I believe this is an announcement of possible encouragement for our citizens, emphasized Kosor.
(www.hrt.hr)