As of today at 11 a.m., when it was practically concluded, more than 37 thousand citizens participated in the subscription of treasury bills, and so far 935 million euros have been paid, but this amount should be distinguished from the total of 985 million euros after expected payments, said Finance Minister Marko Primorac on Monday.
He stated that the 985 million euros will be reached if all those who subscribed to the treasury bills pay that amount. – We expect that the actual amount paid will approach the total of 985 million euros by the end of the day, said the minister.
– We are extremely satisfied with this issuance. We thank all citizens who recognized this opportunity and the Financial Agency that fully supported us, said Primorac. He emphasized that the state successfully mobilized a significant part of citizens’ savings.
– When, for example, we look at the amount of 1.3 billion euros in the issuance of the national bond, along with this almost billion euros, that is about 2.3 billion euros in one year, he emphasized, adding that about 80 million euros in interest remained with Croatian citizens, instead of being paid to financial institutions somewhere abroad.
The Budget is Pre-Election Only by Timing
Commenting on the budget for 2024, he said that the adjective “pre-election” stands only because it is being adopted in an election period.
– If you look at the components of that budget, it is such that expenditures are increasing, and the deficit is also increasing compared to what we had planned for this year. However, the increase in expenditures and the deficit did not occur by chance, as a result of some political ambitions in individual departments, but solely due to the reality we are in and the need to continue with responsible fiscal policy, claims the minister.
Although, according to him, this year an economic growth of 2.8 percent will be achieved, he emphasizes that significant inflationary pressures are still present. Next year, he expects a significant slowdown in inflationary pressures.
He reminded that the fiscal criteria from Maastricht, which are currently suspended, allow for a deficit of three percent and public debt of no more than 60 percent of GDP.
– In the budget that we will present tomorrow in the Croatian Parliament, we have incorporated our expectations that will manifest in the reduction of the relative amount of our debt measured as a share of GDP, so that it will decrease from 60.7 percent, which we expect by the end of this year, to around 58 percent next year, he emphasized.
– The budget is realistic and sustainable under these circumstances, noted Primorac, adding that Croatia has the fourth lowest deficit in the eurozone.
