The government is expected to decide on the choice of the adviser on Thursday at a session scheduled to take place in Slavonski Brod.
Six consortiums have applied for the position of adviser and three have been short-listed -- Merill Lynch-RBA, HSBC-Zagrebacka Banka-Intercapital and Citibank-CAIB.
The government sources said that Merill Lynch-RBA had been short-listed not just because of its proposed fee but also because of the consortium's overall offer and references, which include the privatisation of Pakistan's largest oil company.
According to unofficial information, Citibank-CAIB has offered the lowest fee for advisory services, but this consortium would be in conflict of interest since Citibank has a contract with the Hungarian government regarding the privatisation of INA's strategic partner, the Hungarian oil company MOL.