Šuker says IMF, WB officials support economic recovery programme

Croatia's fiscal policy measures and economic recovery programme have been very well received and assessed in talks with World Bank and International Monetary Fund officials in Washington, Croatian Finance Minister Ivan Suker said on Saturday.

He was attending the IMF and World Bank spring meetings.

"IMF and World Bank officials have assessed that the programme's measures hit the mark, from structural reforms, budget-relieving and tax reforms to social policy measures," Suker said, adding the Finance Ministry would "propose many new laws" by June with a view to implementing those measures more swiftly.

He announced that an IMF delegation would arrive in Zagreb on Wednesday to "dissect in detail" the new programme's measures with Croatian officials.

Suker underlined that the delegation's evaluation would have a key influence on the price of capital for Croatia on financial markets.

He refuted some Croatian media allegations that he had come to Washington to borrow more for Croatia, seek creditors or a new IMF loan, saying he arrived for the annual spring IMF and World Bank meetings. He underlined that Croatia had not even used the IMF's existing drawing rights.

Asked to compare the measures that were taken globally to overcome the crisis and those being undertaken in Croatia, Suker said that "given the particular political situation, in light of the final stage of (accession) negotiations with the EU, and the limited influx of financial means, Croatia launched its own measures to stimulate the economy".

"A so-called public work programme is being launched now, whereby the government will make a further contribution to kickstart the economy, while EU funds and private investments will come next."

Responding to questions from Croatian reporters, Suker dismissed as "ill-intentioned" the comparison of Croatia's situation with Greece. "The best answer is the one from international financial institution leaders, who are saying that Croatia is not even close to Greece."

The Croatian delegation in Washington includes representatives of the Finance Ministry and the central bank.

Today, the delegation attended a meeting of the International Monetary and Financial Committee as well as a meeting of the Dutch constituency at the World Bank, to which Croatia belongs.

The delegation is scheduled to meet the World Bank's vice president for Europe and central Asia, Philippe Le Houerou, its director for Croatia, Peter Harrold, and the bank's executive director, Rudolf Jan Treffers. They are due to talk about the bank's projects in Croatia, preparations for new ones, the bank's support for Croatia's economic development, and the financing of activities related to EU accession.

The Croatian delegation is also scheduled to meet IMF's executive director Age Bakker and its director for Europe, Marek Belk, to discuss the macroeconomic situation in Croatia and counter-crisis measures.

The delegation will also hold a meeting at the US Department of the Treasury.

 

(HINA)

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