Prime Minister-designate of the 15th Croatian government, Andrej Plenkovic, told parliament on Thursday that in 2020 Croatia's economy could contract by about 10%, however, a strong recovery of more than 6% could be expected in 2021.

The European Commission projects Croatia’s annual growth of 7.5% in 2021, Plenkovic said, outlining the programme of his new cabinet.

In this context, he said that the focus would be on the maximum utilisation of the €22 billion which was made available to Croatia after the 17-21 July European summit, describing this as an additional strong lever for an economic rebound. Plenkovic said that the government, which is expected to be approved by parliament later in the day, would motion a bill for the post-quake reconstruction of Zagreb and its environs. The damage caused by the 22 March quake is estimated at € 11.5 billion.

Plenkovic warned that Croatia would have to continue dealing with the consequences of the coronavirus pandemic, which was not yet abating globally.

“The pandemic will still be here with us. We need to be responsible and learn to live with the virus by complying with the measures,” the premier said, underscoring that only through cooperation and adherence to the recommendations by professionals and experts could we overcome this challenging period and enable Croatia’s economic recovery.

In this context he pointed out the efforts of health workers and other services in saving lives in this pandemic.

The targets of the programme of Plenkovic’s second cabinet include creating another 100,000 jobs, increasing the average monthly pay and the minimum wage and further reducing taxes.

There are five priorities in the new government’s agenda: social security, a promising future, economic sovereignty, strengthened statehood and global recognisability.

He said that the nominees for ministerial positions in his new cabinet are experienced professionals who have proved themselves in their careers.