ZAGREB, Sept 16 (Hina) - The Croatian government and the World Bank will sign a contract in Zagreb on Tuesday whereby the World Bank will help the reform of the Croatian pension system with a US$27.3 million loan, the bank's Zagreb
office said on Monday.
ZAGREB, Sept 16 (Hina) - The Croatian government and the World Bank
will sign a contract in Zagreb on Tuesday whereby the World Bank
will help the reform of the Croatian pension system with a US$27.3
million loan, the bank's Zagreb office said on Monday. #L#
"The aim of the project is to improve the effectiveness and
transparency of Croatia's system for reporting and enforcement of
social contributions and personal income taxes, in particular for
the new system of funded pensions," read a statement from the
office.
The one to benefit most from the new project will be all citizens
included in the pension and health systems, the unemployed, young
people who have yet to find a job, and employers, said the
statement.
The project will also be of great assistance to agencies included in
pension system management, HAGENA, REGOS, and the Pension
Insurance Institute. The Tax Administration will also benefit from
the technical assistance the project offers in the definition of
institutional and administrative models of collecting
contributions and reporting. This will bolster the money transfers
bureau FINA's key role in the new system.
The entire project is worth US$35.6 million, including 8.3 million
secured by the Croatian government. The World Bank loan has been
approved for a period of 15 years, with a five-year grace period.
(hina) ha sb