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Gov't initiates procedure for agreement with EC on IPA programme

ZAGREB, April 6 (Hina) - The Croatian government on Wednesday adopted a decision to launch proceedings for concluding a financing agreement between Croatia and the European Commission on the national programme for Croatia as part of the IPA component on assistance in transition and institutional building in 2010, the government's public relations office said in a press release.

The government also adopted the minutes of negotiations, signed on 4 April 2011, pertaining to a contract on an economic recovery development policy loan between the Croatian government and the International Bank for Reconstruction and Development.

The Finance Ministry will notify the IBRD about the Croatian government's consent and issuance of relevant legal documents.

The contract on the economic recovery development policy was proposed to ensure fiscal viability through the consolidation of public consumption and creation of an encouraging environment for private sector growth. The amount of that loan is EUR 150 million, with a 15-year period of repayment and an interest rate of 6-month EURIBOR for the euro being increased with a fixed interest margin by 0.85 %.

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