Economic Crisis affects on Croatia

The Croatian government was criticized by Croatian Telecom CEO Ivica Mudrinic for its lack of vision and strategy to get Croatia out of the current economic crisis.  According to an article in Croatia's Nacional Mudrinic gave an interview to Business.hr about stating how he accused the government of inactivity, lack of strategy for the recession and inability to carry out the necessary reforms.  This criticism by Mudrinic, who is not only a top member in a Croatian company, but also member of the ruling party and minister in HDZ government in the 90s, is very rare.

In another article from the IMF explained how The IMF met with Croatian authorities and discussed the recent global and domestic developments and policies needed to preserve macroeconomic and financial stability.  The article reported that "However, no economy can remain fully immune to the turmoil [that has evolved into the greatest global economic crisis in 60 years]."  It is explained that priority should be given to preserving financial stability.  Liquidity conditions should also remain under control. This revised budget, adopted in early April also pushes for tight control over spending and improvements in tax administration as well.  Further specifics of the budget can be found in the article itself.  Over all the IMF was "grateful to the authorities and its other interlocutors for the open discussions, excellent cooperation, and warm hospitality." 

-Lindsey Nass

Croatia