"All of us are replaceable," Finance Minister Slavko Linic said ahead of the cabinet's meeting on Thursday.

Asked by reporters about a successor to Cacic, the Croatian People's Party (HNS) leader, and whether it could be Construction Minister Ivan Vrdoljak, Linic, an official of the Social Democratic Party (SDP), said it was on the prime minister to decide on the matter.

"I am not the Prime Minister, I will withhold my opinion. The premier will answer that question and I think that he has solutions. Personnel policies are agreed by top leaders, everything else would be a frivolous comment," Linic told reporters entering the government's building.

Foreign and European Affairs Minister Vesna Pusic of the HNS told reporters that this "is a difficult and bad situation. We are faced with it, it is what it is."

Pusic said that the government would continue to function normally.

However, "this is a loss for the country, in the sense of Cacic's engagement in economic projects and in my opinion, there is no doubt about it," she added.

As for questions whether she would now become the first deputy prime minister instead of Cacic, Pusic said that she could not answer that question for the time being.

"We in the HNS presidency are having a session this afternoon and after that we will hold a news conference. Then we will know more about our decisions and we will make them public. We are also in touch with our coalition partners to agree on that," said Pusic, an HNS vice-president.

Education and Science Minister Zeljko Jovanovic of the SDP said that the government was strong enough to withstand the departure of any of its ministers.

"Only the prime minister is irreplaceable," Jovanovic said.

Tourism Minister Veljko Ostojic of the Istrian Democratic Party (IDS) expressed regret at Cacic's departure. He said that it was a loss both for the government and the economy.

Croatia's First Deputy Prime Minister and Economy Minister Cacic announced his resignation at a news conference on Wednesday afternoon in Zagreb after the county court in the Hungarian city of Kaposvar earlier in the day found him guilty of causing a fatal traffic accident in Hungary in 2010 and sentenced him to 22 months in prison.

At the news conference, Cacic reiterated that he was sorry for the two deaths and once again he extended his condolences to the Liptaks, the family of the victims of the crash.

The latest verdict is not open to appeal.