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AMENDMENT TO LAW ON CENTRAL BANK TO STRENGTHEN FINANCIAL MARKET

ZAGREB, Jan 31 (Hina) - The strengthening of the financial market and increasing its efficacy are the basic foals of new bills on the Croatian National Bank (HNB) and amendments to the Law on the basics of the foreign exchange system and foreign exchange transactions, participants of a conference organised by the Croatian Chamber of Commerce and the Privredni vjesnik paper said Wednesday. HNB governor Zeljko Rohatinski explained the provision of the proposed bill that payments in the country can be paid in other currencies by law rescinds the prohibitive foundation for all transactions in Croatia having to be shown and realised in the national currency, the kuna. this does not mean that the bill on HNB will be introducing a parallel currency. This is to create a foundation for transactions in the country to be done in foreign currencies when the time is right and laws are pass
ZAGREB, Jan 31 (Hina) - The strengthening of the financial market and increasing its efficacy are the basic foals of new bills on the Croatian National Bank (HNB) and amendments to the Law on the basics of the foreign exchange system and foreign exchange transactions, participants of a conference organised by the Croatian Chamber of Commerce and the Privredni vjesnik paper said Wednesday. HNB governor Zeljko Rohatinski explained the provision of the proposed bill that payments in the country can be paid in other currencies by law rescinds the prohibitive foundation for all transactions in Croatia having to be shown and realised in the national currency, the kuna. this does not mean that the bill on HNB will be introducing a parallel currency. This is to create a foundation for transactions in the country to be done in foreign currencies when the time is right and laws are passed (on foreign exchange business), Rohatinski said. The process of introducing the euro requests a change in the overall economic situation so the euro, once we get to it, could function as it does in Europe, he stressed and warned about problems of inflation which is higher in Croatia than in the European Union, the problem of the balance of payments, etc. All these problems should be significantly curbed before even thinking about introducing the euro in whichever form in Croatia, Rohatinski asserted. participants of the conference voiced various ideas on the liberalisation of the foreign exchange system through amendments to the Law on foreign exchange business transactions. The introduction of the euro demands a certain political procedure, maybe even a referendum, as had been done in some western countries, the conference attendants stressed. (hina) lml sb

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