"There is obviously a tendency to rock the president's position, which won't happen, of course. Obviously, someone is bothered by the stability I'm advocating and, in some way, succeed in guaranteeing with my work, they are bothered by the reconciliation I'm advocating... by the justice I'm working on," Josipovic said on Croatian Radio.

He said such accusations had a political backdrop, as seen in the fact that only a few "well-coordinated" media were pointing the finger at him, while on the other hand, right wing portals and newspapers were fabricating "some private matters" in an attempt "to discredit my family and me."

Josipovic once again denied that, while working at ZAMP, he had favoured the company of one of his friends, saying Emporion was a private firm which, "by respecting the law, paying a lot of taxes and investing in the social fund, whereby it could serve as an example to others, has generated considerable growth."

Josipovic said he cooperated well with the new government, which he said must prove itself by ensuring growth, investments and employment.

"That certainly won't happen in a month or two, but I think the ambition is visible... there are some indicators, a mild recovery, and I hope this will continue."

Asked if, after the recent increase of VAT and prices, citizens would still elect the current ruling coalition, Josipovic said the higher prices were a consequence of the situation in the state and that the government should resort to them if it was necessary to ensure a welfare state and measures for the protection of the most endangered citizens.

"The incumbent government is not in an easy situation. Social democracy and the ideal of the welfare state are based on the possibility of earmarking some budgetary funds for the goals you want to achieve, but when there's no money, that's not easy," the president said, voicing confidence that citizens were willing to support any policy that carried measures which they understood.

Josipovic said he hoped the government would respond to the wave of higher prices, notably those of fuel, saying he believed that there was awareness that one category of the population could not bear that burden.

He stressed that the crisis required everyone to act responsibly, not only the government but the social partners as well. "I think it's time that big corporations, which generate large profits, think hard about what is called corporate social responsibility, whose long term interest isn't always to maximise profit but also to ensure general social stability which will eventually benefit those companies."