Croatia's parliament on Monday adopted the government's 2016 budget plan, which forecasts stronger growth and a shrinking budget deficit.

Gross domestic product (GDP) growth is expected at 2.0 percent after 1.6 percent in 2015.

The budget deficit is projected at 2.2 percent of GDP, the lowest in six years, down from 3.8 percent last year.

The vote on the budget was first serious test for Croatia's conservative government that took over in January. The cabinet of Prime Minister Tihomir Oreskovic won support of 80 lawmakers in the 151-seat strong parliament.

The 2016 budget foresees revenues of 115 billion kunas (15.1 billion euros, $17.2 billion) and spending of 122.5 billion kunas.

Oreskovic's government said it would try to stop further growth of public debt that has reached almost 90 percent of the GDP.

Croatia was among five states criticised earlier this month by the European Commission to have public spending "in excessive imbalance."

Croatia joined the EU in 2013 and its economy remains among the bloc's weakest.

The government also hopes to reduce the jobless rate, currently at 16 percent, and forecast inflation at 0.1 percent. In 2015 Croatia's economy, which depends greatly on tourism along its Adriatic coast, emerged from six-year recession.

The former Yugoslav republic, independent since 1991, should reform its unwieldy public sector and improve its investment climate, analysts say.