The Croatian parliament on Monday revised the 2010 budget, cutting revenues by HRK 4.5 billion and increasing expenditures by HRK 898.2 million (EUR 1 = HRK 7.27).
The 81 MPs of the ruling coalition voted in favour of the government-sponsored draft budget revision, while 61 opposition deputies voted against.
The revised budget envisages revenues of HRK 108.3 billion and expenditures of HRK 122.3 billion. The highest revenue decline is expected from tax revenues and contributions.
The budget deficit will be increased by HRK 5.4 billion to HRK 14 billion, or 4.2 per cent of Gross Domestic Product.
The budget was revised with a real GDP decline projection of 1.6 per cent for this year.
The revised budget ensures an additional HRK 356 million for pensions, 386 million for the jobless, 50 million for an active employment policy, 600 million for farming subsidies, 300 million to compensate damage caused by natural disasters, 100 million for maternity allowances, and 170 million for a referendum on Labour Act amendments.
