Prime Minister Andrej Plenkovic announced at the beginning of the government's meeting on Thursday morning that the net minimum monthly wage would be 3,250 kuna (€437) as of 1 January 2020, increasing by 250 kuna (€34).

Plenkovic recalled that during the term of his cabinet, the minimum wage had increased by €100, which he said, had never happened during the rule of other Croatian governments.

He underscored that the latest, fourth round of tax reforms would result in tax reliefs amounting to HRK 2.4 billion.

During the term of this cabinet tax reforms resulted in the reduction of tax burden by 9 billion kuna, according to Plenkovic’s explanation.

All that has led to a rise in incomes and citizens’ living standards enabling better consumption, which has influenced a growth rate.

He also said that the planned draft budget for 2020 was based on the projected growth rate of 2.5% next year.

Plenkovic also underscored the reduction of the share of public debt in GDP to 71.5%.

All that has reinforced Croatia’s status on international financial markets, leading to the country’s improved credit rating, he said.

(€1= 7.44 kuna)