The amendments bring about changes in the liberalisation of deposited money operations of residents and the use of foreign currency loans via accounts opened abroad.
As a result, as of 1 January 2011, Croatian nationals can open bank accounts abroad and carry out transactions via them.
In order to transfer money to an account abroad, Croatians will have to open bank accounts in foreign countries in accordance with regulations of the country where they intend to have the account and to give the payment order to a bank in Croatia to transfer money.
Representatives of the Croatian Banking Association (HUB) do not believe that these changes in legislation will lead to larger-scale transfers of savings deposits from Croatia to banks abroad. The HUB says that Croatian banks keep offering attractive interest rates on savings accounts.
A number of new laws in the economic and financial sector go into force on 1 January. For instance, Croatia gets new laws on distraint on bank accounts, fiscal responsibility, payment transactions, state aid to agriculture and rural development, state property management etc.
The fiscal responsibility legislation, intended to reduce the deficit and ensure that new borrowing is taken only to cover costs of development, defines fiscal rules for the implementation of the government's fiscal policy. Office holders at all levels are expected to tender their resignation if they exceed budget frameworks.
The e-money law also goes into force.
The law regulating distraint on bank accounts, money and financial transactions provides for the Financial Agency (FINA) conducting distraints. Distraint can be conducted on all kuna and foreign currency accounts as well as on savings deposits and on time deposits.
The legislation postponing the indexation of pensions to the Consumer Price Index and wage growth will also be in place throughout 2011. This means that pensions for 1.2 million pension recipients will be frozen this year.