Croatia Plans Infrastructure Investments Topping $2.6 Billion, Kosor Says

Croatia plans infrastructure investments exceeding 15 billion kuna ($2.6 billion) to revive its faltering economy and create more work places, Prime Minister Jadranka Kosor said.
Projects being considered include thermal plants Sisak C and Plomin 3, eight hydro-electric plants, and the new railroad from the capital Zagreb to the country’s major port Rijeka.
Croatia, which aims to become the European Union’s 28th member by 2012, has seen its economy shrink for six consecutive quarters as investment and consumption faltered and the unemployment rate climbed to more than 16 percent.

The government has announced it will sell minority stakes in state-owned companies, as well as sell or lease its buildable land, in order to fill the budget gap and service a growing external debt.
A top-heavy economy with public workers, retirees, welfare recipients and veterans depending on the heavily strained budget, Croatia is also under pressure to reform its administration, eradicate corruption and improve competition before it can join the EU.

News source: Bloomberg link: article