A new winter sport in Zagreb: watch the public debt rise in real time.
According to the latest data, the Croatian public debt, which could reach a critical point of 90% of GDP by the end of 2015, is growing at a rate of 443.66 kuna per second and has grown to nearly 290 billion kuna. Every resident of the Republic of Croatia is in debt more than 67,000 kuna, and each person employed over 187,000 kuna. The data were presented by the Association of Taxpayers Lipa which has decided to use public debt counters to inform the citizens about the seriousness of the situation and to encourage the government to take necessary measures, reports Vecernji List on September 24, 2015.
In the coming months, the citizens of Zagreb will be able to see five counters which will display real-time increase of public debt. Two of them will be located at the Ban Jelačić Square, and others at the Cvjetni Square, in the Maksimir Street and in Vrbani city district. In addition to the total public debt, citizens will be able to monitor the public debt amounts per capita and per employee.
Economists have already recognized the public debt as one of the biggest obstacles to economic growth in Croatia. Highly developed countries have a greater ability to withstand the burden of public debt and can nevertheless achieve economic growth. Although Croatia does not belong to highly developed countries, the ratio of its debt to gross GDP has reached a value comparable to highly developed countries such as Great Britain and Austria, and significantly exceeds the value of countries such as Denmark, Sweden and Luxembourg, which demonstrate a high degree of development and noticeably greater responsibility of politicians about the public finances.
At the official presentation of the Public Debt Counter, economists noted that without economic growth and balanced public finances it is not possible to increase the standard of living of the Croatian citizens. Therefore, it is necessary to stop the further growth of public debt through a fiscally responsible policy, and reverse the trends that currently lead Croatia in a wrong direction.
The last three Croatian governments have increased the public debt from 122 billion kuna to over 285 billion kuna. The increase of public debt will remain as the legacy for Croatian taxpayers and the economy whose competitiveness is therefore questionable and whose growth is in doubt.
In addition to the streets of Zagreb, the Public Debt Counter can be seen on the website of Association of Taxpayers Lipa – javnidug.manjiporezi.hr.
