. a significant improvement in social indicators is necessary if we want to create the pre - condition for a general improvement in welfare of our population and for genuine equality of opportunity. 3 / 9 turning to the industrial sector, reforms which encompassed removal of industrial licensing, de - reservation, substantial opening of foreign direct investment and trade liberalisation have imparted a competitive edge to indian industry. this is reflected in a resurgence of activity in the manufacturing sector in the past two years, and the present phase appears to be sustainable, in contrast to the exuberance – which turned out to be temporary - reflected in high growth in investment and production in industry during 1993 - 94 to 1996 - 97. for industrial activity to get entrenched and gather momentum, efficiency in supply of infrastructural inputs will need a large impetus. the subdued performance of the infrastructure sector in the recent months is an issue of concern, given the sector ’ s strong forward and backward linkages in the economy. the increasing demand - supply gap in the availability of power is becoming the most critical issue in the future of india ’ s economic development. in the recent period, shortage of coal and gas has emerged as a serious constraint on power generation with the supply of both fuels falling far short of demand. in this context, given the fact that the indian economy is among the more inefficient users of energy, highest and urgent priority needs to be given for energy - saving measures, which could include appropriate pricing policies and incentives to invest. with growing urbanisation, issues related to urban infrastructure have come to the forefront. at present, investment in urban infrastructure is hampered by the fact that local governments are not yet creditworthy and urban infrastructure projects are, therefore, not found to be commercially viable. strengthened planning and better coordination between various agencies entrusted with maintenance of urban infrastructure would have a positive impact on the overall productivity of economic activity in cities. given the fact that there is a heavy concentration of economic activity in large cities, weak infrastructural facilities impede the growth of large cities and of overall economic productivity. it is, therefore, of the utmost importance that the quality of urban infrastructure in the large cities is improved significantly so as to maintain and accelerate the momentum of economic growth and productivity enhancement. for urbanising economies like india to replicate the experience of developed countries in the provision of urban infrastructure, it is essential that all aspects of city management, including the fostering of a professional workforce, are strengthened

the process croatia had to prove itself ready for the introduction of the euro, whereas in its final phase it had to ensure that the changeover proceeded smoothly, easily and to the satisfaction of citizens and businesses. i am grateful to and would like to congratulate our colleagues in the private sector, especially banks, on bearing the brunt of the work and being well - prepared for the conversion so that it unfolded so smoothly in the first day of january. i would also like to express gratitude to my colleagues in the public sector and our friends at the european commission and the european central bank, and, finally, to croatian citizens, for the way they have accepted our new currency. it had already demonstrated its advantages, even before it was officially introduced, and i have no doubt that it will continue to demonstrate these advantages and reveal new ones, providing for better business conditions in croatia, higher economic growth and the improved living standards of our citizens. thank you! 2 / 2 bis - central bankers'speeches