Way out of crisis

Minister says doesn't expect any major price hikes

11.01.2011 u 23:14

Bionic
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Croatian Economy Minister Djuro Popijac said on Tuesday evening that the government would do its best to reduce unemployment and that for the time being it would not intervene regarding prices of energy products since it did not expect any major disruptions.

In an interview with Nova TV, Popijac said that unemployment was a big problem and that the government would do all in its power to curb its growth as soon as possible.

Commenting on forecasts by economic analysts that there would be 350,000 unemployed people in Croatia by this spring, Popijac said that he had not heard arguments or relevant data on which they based their forecasts, and that he would also like to hear their proposals on how to reduce unemployment.

Popijac said that relevant indicators showed a seasonal increase in the number of jobless people, but that they also showed an improvement in 2010, with 147,000 people registered with the Croatian Employment Service having found a job last year.

This is around 20 percent more than in 2009, and it should be a good signal for economic experts too and prompt them to support the government's efforts, Popijac said.

He said that the government was not downplaying or running away from the fact that there are close to 320,000 unemployed people in the country.

"We are trying to overcome the crisis at a pace with which we should or shouldn't be satisfied, but only stronger economic growth can enable greater employment, which is what the government wants."

Asked about the fact that there were 70,000 workers who did not receive salaries, Popijac said that it was up to the judiciary to punish such business practices.

Speaking of the latest increase in prices of oil products, Popijac said there were parameters influencing the formation of petrol prices. Asked if the government could do something in that regard, he said that INA was not the only oil company on the market and that prices of oil products were formed freely on the market.

He added that he did not believe the government should intervene at the moment and that he did not expect any major price hikes.