ZAGREB, Sept 17 (Hina) - Croatian Finance Minister Mato Crkvenac and director of the World Bank's department for south and central Europe Andrew Vorking on Tueday signed a loan agreement worth US$27.3 million earmarked for the
Croatian pension system reform.
ZAGREB, Sept 17 (Hina) - Croatian Finance Minister Mato Crkvenac
and director of the World Bank's department for south and central
Europe Andrew Vorking on Tueday signed a loan agreement worth
US$27.3 million earmarked for the Croatian pension system reform.
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The funds will be invested in the reconstruction and modernisation
of the Croatian Pension Insurance Institute, the agency for
monitoring pension funds and the central register of insured
persons.
This is a significant project which should ensure the stabilisation
of contribution rates, the reduction of the investment risk and the
expansion of the capital market, Vorking said.
Finance Minister Crkvenac said the loan would enable a more
efficient pension system with less risk and more security for
pensioners.
The Croatian government has invested great efforts in the
establishment of a healthy and efficient pension system and this
loan will make it even more transparent, it was said at the
signing.
The project is worth US$35.6 million, of which the Croatian
government will ensure US$8.3 million. The World Bank loan is
granted to a period of 15 years with a five-year grace period.
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