FinMin: One of the main goals is to cuts borrowing costs

One of the important objectives of the Croatian government is to reduce the costs of borrowing, which are now to high, Croatian Finance Minister Zdravko Maric said in Amsterdam on Saturday.

"From the budgetary point of view, it is important to reduce the share of interest rates in the overall expenses. Today, that share amounts to 3.6% of GDP. This is why you heard me, the prime minister and the entire government say that along with the reforms we plan to carry out and the economic growth, one of the objectives is to 'attack the rating agencies' and the entire cost at which Croatia is being financed," Maric said in Amsterdam where he is taking part in an informal meeting of the EU finance ministers.

Maric said that Croatia already had a primary budgetary surplus, namely its revenues exceed expenses, if debt interest rates are excluded.

The minister said the new Croatian government adopted the 2016 state budget and sent out a strong message that the planned deficit of 2.6% of GDP was in line with the structural adjustments requested by the European Commission. This is an important step for exiting the Excessive Deficit Procedure, the minister said adding that stabilisation could be expected as early as this year.

He confirmed that the government was scheduled to adopt two documents next week -- the National Reform Plan and the Convergence Programme.

These documents include the comprehensive reform set, including public administration, tax system, public companies, health system, social welfare.

The finance ministers of the 28 EU member states gathered for an informal meeting in Amsterdam on Saturday to talk, among other things, about the fight against tax evasion.

Last update: Sat, 23/04/2016 - 16:54

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