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Croatia to make extensive changes in finance sector to adjust it to EU standards

BRUSSELS, March 30 (Hina) - Croatia will have to adopt three new lawsin the financial services sector so as to adjust it to the EuropeanUnion's acquis communautaire.
BRUSSELS, March 30 (Hina) - Croatia will have to adopt three new laws in the financial services sector so as to adjust it to the European Union's acquis communautaire.

Croatia's chief negotiator for the finance sector, Boris Vujcic, said in Brussels on Thursday that "these changes are extensive but they are not difficult in essence".

Instead a law on banks, Croatia will have to pass a credit institutions act regulating securities, and an act on insurance.

The Croatian finance system will be divided into two parts: credit institutions which are supervised by the Croatian National Bank (HNB), and the other part consisting of pension funds, insurance companies, the securities commission and others which will be under the supervision of the Croatian Financial Services Supervisory Agency (HANFA).

These changes do not bring anything new for citizens as individual clients, however, the finance industry will get many new things.

The biggest novelty is the introduction of the so-called European passport which enables a financial institution to operate in any EU member state without applying for special licences from a host country.

The explanatory stage of the screening of the adjustment of Croatia's finance sector legislation to the EU standards ended in Brussels on Thursday afternoon.

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