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Prime Minister meets with IMF mission

ZAGREB, Nov 11 (Hina) - Croatian Prime Minister Jadranka Kosor met in Zagreb on Thursday with members of the International Monetary Fund (IMF) Mission for Croatia, led by Mission Chief Zuzana Murgasova.

Kosor presented the main goals of her government in creating conditions for economic recovery and growth. She spoke of the government's economic recovery programme and some of its measures that had been implemented, including reduction of non-tax levies, launching of a new investment cycle through some 30 projects, and measures supporting the economic sector.

The Prime Minister stressed that the programme's main intention was to create a competitive economy that would enable a better quality of living based on stability and sustainability.

Kosor said that all projects aimed at rationalisation were continuing, citing the Office for Integrated Public Procurement and the accelerated implementation of reforms in the judiciary, the pension insurance system, and central and state administration.

On the subject of next year's budget, Kosor said the government had decided not to increase expenditures, and that Croatia would for the first time have a law on fiscal responsibility.

Murgasova expressed support for the government's economic recovery programme, saying that the effects of some of the implemented measures could already be seen and adding that the government should persist in its implementation.

Although in the short term reforms are difficult, in the future they will ensure a stronger economy and better living standards, she said.

Murgasova welcomed the planned freezing of budgetary expenses over the next two years and adoption of a law on fiscal responsibility.

The IMF Mission has arrived this week for a regular annual visit.