Those are some of the six preconditions which Croatia is expected to meet within the PAL programme by mid-December.
The government on Thursday accepted a set of measures to meet preconditions in connection with the Programmes Adjustment Loan (PAL) approved by the World Bank.
In the next three years Croatia will be able to draw 150 million dollars annually as a loan under very favourable conditions, Finance Minister Ivan Suker said at a government session on Thursday.
The PAL funds are particularly aimed at reforms in the judiciary and the state administration as well as at the streamlining of the Croatian Railways.
The HFP is expected to sell 10 companies by mid-December. Minister Suker said eight of those companies had been practically sold and bids for the sale of the remaining two had been invited.
The government plans to reduce state subsidies, but this will not refer to subsidies in the farming and fishing sectors, he added.
The government is bound to draft a new law regulating the status of civil servants.
Under the relevant measures, two shipyards should be privatised in the next 12 months, and bids for the privatisation of another two should be invited.
The PAL also covers the state administration, and Croatia is expected to cut the wage mass for the public sector from 11 percent of Gross Domestic Product to 9.5 percent in 2007.
The Ivo Sanader Cabinet today appointed Filip Dragovic and Leo Begovic assistant ministers in the ministries of the interior and the economy respectively.
Dragutin Katalenic was relieved of duty of Assistant Economy Minister.
The government appointed a seven-member commission for the destruction of seized drugs, which will be headed by Ines Gmajnicki.
The government proposed to the parliament to adopt a law on the establishment of a Croatian Memorial and Documentation Centre on the Homeland Defence War. This institution would collect and process documentation pertaining to the war.
The centre would be housed in the building of the state archive, and the state budget for 2005 envisages some two million kuna for this purpose, Culture Minister Bozo Biskupic said.
Zoning and Environmental Protection Minister Marina Matulovic Dropulic presented at the session a draft law on waste management.