Growth of personal consumption, prices of shares and apartments next year

Growth of personal consumption, prices of shares and apartments next year

30.11.2007 9:51:00 Powered by PressCut

At yesterday’s session, Ivo Sanader’s cabinet adopted the Pre-Accesion Economic Program (PEP) for the 2008-2010 period. The government expects the private sector and personal consumption to be the main generators of economic growth, which should reach 6.1 percent next year. According to the PEP, the key guidelines of the government’s operation will not change. The stress is on the macroeconomic stability, reducing deficit and state share in public debt, reforms of administration and judiciary, and privatization of sectors dependent on state subsidies. The government expects the real growth of personal consumption to reach 5.4 percent in 2008 and roughly 5.1 percent in the following two years, as a result of the projected growth of salary mass due to growth of employment and salaries in the increased economic activity. They also believe that consumers’ optimism will be stimulated by a further growth of their assets. Prices of real property should increase, as well as the value of financial assets, such as stocks and shares in investment funds.

From: http://www.poslovni.hr/