The incoming government encountered in the sector of maritime affairs, transport and infrastructure, which is the worst off, a debt of HRK 68.8 billion, sovereign subventions of HRK 5.7 billion and losses of HRK 1.2 billion.

The health sector owed HRK 5.7 billion and a further HRK 677 million of non-registered long term dues. Three ministries - the economy, agriculture and finances - left behind unpaid dues totalling HRK 1.46 billion.

The Ministry of Science, Education and Sports had dues of HRK 1.5 billion, which was 12.3% of the 2011 budget, and of that amount, HRK 1.38 billion were dues on loans.

The national broadcaster HRT, by early 2012 accumulated losses of HRK 333 million and HRK 418 million in debt, which meant that the total debt of this public institution was two and a half times greater than its capital.

Data of this nature explains why Croatia's public debt grew by HRK 65 billion in three years and why this year the debt owed for interest grew by three billion, Deputy Prime Minister and Minister of Regional Development and EU Funds Branko Grcic said.

The situation as it was cannot be resolved quickly because at the same time Croatia is required to reduce its budget deficit and so the government will implement fiscal consolidation and deal with its debts in installments over the next few years, he said.

Despite the catastrophic situation, the former government did not undertake any restructuring measures nor did it embark on any reforms to put an end to the growing losses and debts, the head of the "Clean Start" project, Denis Petrovic, said.

The "Clean Start" project recommends that the government urgently introduce a series of measures to deal with the situation, including the standardisation of keeping records, centralised public procurement, a unified IT system, urgent monitoring of spending by the Croatian Health Insurance Institute and hospitals, and coming up with a unified model of management of government assets.