Milanović: We will encourage those companies that have export potential

Prime Minister Zoran Milanović today presented the first report on the state of the nation and the work of the Government in the past year to the Parliament. The majority of the speech was dedicated to the economic situation and the Government’s efforts to exit the crisis.

10.46

The Prime Minister exceeded the allotted time for his speech by several minutes, which was pointed out to him by the Speaker of the Parliament, Josip Leko.

Milanović concluded by stating that it is necessary to face the reality of the encountered irresponsibility.

We do not need either tutors or sponsors, but well-meaning partners and true friends. However, partnership requires equality. Long live Croatia! – concluded Prime Minister Milanović his first prime ministerial speech on the state of the nation.

10.38

The Prime Minister also referred to the current disputes regarding ‘lex Perković’.

The only motive for the time limitation after 2002, he said, was to protect our people who participated in the Homeland War from being prosecuted in any EU country. Everyone must agree with this, and anyone who does not understand what universal jurisdiction is, he said.

The Croatian judiciary needs to obtain evidence of every crime, but primarily before our judicial bodies. He reiterated that Croatia will not be harmed or sanctioned due to such an approach.

He also emphasized that the fight for the rights of national minorities is as fundamentally important as economic growth. I promise, we will use all democratic means to break the spread of hatred, he said.

10.32

The Pelješac Bridge should be left to experts to express their opinions on it. I appeal that letters should not be sent, as this is perceived as pressure. I invite all those interested in discussing the Pelješac Bridge to leave the decision to the experts.

This Government is aware that there are some economic methods that would seemingly yield quick results. However, we do not believe in risky monetary maneuvers or increased borrowing, nor do we believe those who say we should not repay loans or that we should lay off tens of thousands of people, said the Prime Minister.

He emphasized that the Government wants to encourage the recovery of private companies, but also that every job is preserved within reasonable limits, regardless of the private or public sector. Commitment to this goal sometimes slows us down, assessed Milanović, who stated that only full employment, which we have never had, guarantees a happier society.

10.22

He highlighted one billion kuna in support for entrepreneurs and craftsmen, as well as the role of HABOR in financing entrepreneurship, especially exports. He emphasized that HABOR provides special support to our exporters and has supported Croatian exports with 12.5 billion kuna.

There is also support for startup companies of younger entrepreneurs testing their ideas – most will fail, but the opportunity is there, said the Prime Minister.

The state will continue to strongly encourage companies from those areas that have serious export potential. We have long assessed that shipbuilding is one of those areas, and this was not fair to many companies that have disappeared. Only 13 percent of our companies export, warned the Prime Minister.

10.15

As the foundations of the economic strategy that will lead to economic recovery, Milanović listed: public investments, removal of administrative barriers to direct investments, tax policy, direct incentives to the private sector, utilization of EU incentives, and well-organized economic diplomacy…

In agriculture, we must understand that we need a new direction; the way it has been going until now can no longer continue, he said. Tourism, energy, and industry are the main areas of investment projects that are in preparation.

When it comes to large state projects, it must be known who has the final word in Croatia. That is the Government, regardless of whether it is SDP or HDZ. We cannot be hostages of regional groups, as otherwise we cannot be responsible for our results. That is enough, said the Prime Minister, who gave strong support to the Investment Promotion Act with these words.

10.08

The restructuring of shipbuilding has been a difficult and demanding task, involving billions, but we entered this job because there was no other reasonable path. Milanović also highlighted the work being done on the restructuring of all agencies and state companies, in which, he claims, significant progress has been made.

10.02

Structural reforms and reduction of budget expenditures are obligations due to the EU, but primarily because we believe that we must bring domestic finances into calmer waters. We will have to combine intervention measures with reforms. Countries like Germany that have done this are now stable. Milanović announced that he will discuss them with the commission. However, economic growth is crucial, but this process will not be quick, he said.

He also emphasized that he is convinced that the monetization of highways will be a good deal for Croatia, but also highlighted efforts to stabilize Croatia Airlines.

Do not believe those who say we are selling off the state. A company that has swallowed billions of budget kuna is not a national treasure, said Milanović.

9.56

The Prime Minister emphasized that we are failing to cover obligations with revenues, and this will be one of the priorities.

Milanović highlighted the positive effects of fiscalization, which has collected significantly more taxes, as well as the Act on Pre-Bankruptcy Settlement. He also announced the reorganization of the Tax Administration according to a regional and functional model, as well as the introduction of measures for the transparency of public finance spending.

From local and regional self-government, we expect transparency, said the Prime Minister and announced the introduction of information systems that will transparently approach all expenses. He emphasized that all ministries are dealing with the introduction of order because the Government found disorder everywhere and unwilling law enforcement.

9.47

Milanović announced his speech with the words that he will not shy away from problems. He assessed that Croatia has achieved all its goals in the last 22 years and has become a regional leader. He assessed that we have never been in a more favorable position than now.

Croatia owes nothing to anyone for entering the union; no one has given us anything. We demand that our rights be respected and that we are treated with respect. We will insist that Croatia is treated as an equal state, he said.

The only remaining goal is to create Croatia as a place for a more pleasant life for its people. Croatia will be a prosperous country. The basic assumption for this is that we advocate for the interests of our citizens and the country. Rest assured that we will be successful in this, said the Prime Minister.

However, our economic situation remains difficult, primarily due to the previous government, said Milanović, who then began to repeat numerous statistical data about the domestic economy.