Home / Business and Politics / Tax reforms, increase in minimum wage, recovery of tourism… An active autumn awaits the government

Tax reforms, increase in minimum wage, recovery of tourism… An active autumn awaits the government

Andrej Plenković
Andrej Plenković / Image by: foto Ratko Mavar

Tax reforms, as before, will come into effect on January 1, 2021, it will be a continuity of the policy of relieving citizens and the economy, the Prime Minister said in HRT’s News. 

When it comes to the minimum wage and its increase, he announced that a decision on this will be made no later than early November. The decision on the minimum wage is always made in the autumn, so that those affected can prepare, he explained, reminding that during his first government’s term, the net wage was raised by 754 kuna, while the three governments before it raised it by a total of 250 kuna.

– Our ambition is to raise that 3,250 kuna net to 4,250 kuna net by the end of the term – he stated.

A good tourist season, he explained, is the result of “efforts on numerous aspects”.

– The message of a safe Croatia has proven to be good in tourism, we are almost at 700 thousand guests daily in July – said the Prime Minister and emphasized that the ambition is for several peak weeks in August to make a strong contribution to Croatian tourism and the economy.

Plenković emphasizes that the government, despite the crisis brought by the Covid-19 pandemic, has managed to secure funding for all needs: the state, the private sector, pensions, salaries, tourism…

– Everything is functioning, we have maintained our credit rating and achieved the European Exchange Rate Mechanism II. We are starting to implement our program, which will revolve not only around the implementation of the government’s program but also around the creation of an economic recovery program following the conclusions of the European Council. We will create it during the autumn, it will be the basis for reforms that will be financed both by funds and from the EU Next Generation instrument, we received 12.7 billion euros for the seven-year budget, here around 9.3 billion, we must use these funds based on good programs that concern all sectors – emphasized the Prime Minister. 

The past month, since the elections for the Croatian Parliament, he called 'a unique month in a political sense'.

– We entered the European Exchange Rate Mechanism II, we also had a historic European Council where we secured 22 billion euros for Croatia’s economic recovery, the Croatian Parliament was constituted, the government received confidence, the Parliament was sent the Law on the Reconstruction of the City of Zagreb, and it was already voted in the first reading on July 31 – said Plenković. 

{embed_digitalno_izdanje}{/embed_digitalno_izdanje}