The theme of the third panel at Lider’s conference Day of Great Plans was – in anticipation of the elections, featuring Domagoj Ivan Milošević, HDZ, Josip Budimir, HSLS, Ljiljana Katičić, OraH, Ljubo Jurčić, Novi val, Radimir Čačić, Narodna stranka – Reformisti. The panel was moderated by Gordana Gelenčer, a journalist from Lider.
Milošević is categorical that HDZ’s economic program is not a fairy tale; the Croatian economy is small and is neither fast nor flexible, except in passing laws, which should not be the case.
There are four pillars of this program: support for the private sector aimed at creating new jobs, the second pillar is the reform of the public sector (the reform of the management of public enterprises which are increasingly larger compared to the private sector), the third pillar is investments – EU funds are not the only ones, we must not forget the Juncker plan and private capital, as well as tourism and agricultural potentials, and geostrategic position, and the fourth pillar – tax relief.
Budimir stated that the issue of fiscal consolidation is one where the best results can be achieved in a short time; public debt is 300 billion, the state unnecessarily spends, penalizes the private sector, so we spend 12 billion kuna annually more than necessary. If we continue at this pace, no one will credit us because no one credits a country where the government behaves irresponsibly. Every political option advertises its good intentions, but it remains for the citizens to choose.
There is not a single truth in HDZ’s economic program; there are only good wishes. Who among us does not want everything to be good? But there is one small detail – it needs to be done. We are talking about a simple fact – every government has the task of making decisions – the programs are not bad, but this is the most base populism. It is interesting that no one asks the SDP about the economic program; everyone has given up on that. This country needs to be led well – references are what we can talk about, says Čačić.
Gelenčer interrupted the discussion between Milošević and Čačić about who is to blame for the current situation, reminding that all of Croatia’s problems are cumulative since independence.
Jurčić stated that in Croatia, the situation is such that nothing happens in a planned manner. Export work is not the result of Croatian policy, but the demand for goods in the market – As for the kuna, the exchange rate of the kuna was set in 1993 at 4.44 kuna for one mark, but no analysis was made on how this reflects on the economy, instead, the exchange rate was reduced to 3.7. The exchange rate of the kuna from 2000, which the HNB often shows, is not relevant; Croatia is today in a vicious circle – it is choking. One problem is the exchange rate, another problem is the structure of investments. We have invested 12 percent in the manufacturing industry, while countries that have grown more than 20 percent. We must pursue a policy of increasing the production of final products. This government is turning citizens into social cases, and the duty of every government is to raise income. Croatian exports are lower than in EU countries whose economies are growing; we have a problem with the currency clause. A reform of the monetary system must be made, no matter how difficult it may be, then a reform of public finances, followed by an analysis of the economy to see what potentials exist in certain sectors and what resources we have to produce and export. Production must be possible, profitable, and there must be a market; we have everything except the profitability of production, emphasizes Jurčić.
