ZAGREB, March 10 (Hina) - After the improvement of Croatia's credit rating according to Standard & Poor which ranks now Croatia among stable countries and Dun & Bradstreet which moved it from the high-risk into the moderate-risk
category, this country has brighter prospects for foreign investment, as these changes signalise to foreign financiers that Croatia's political and economic circumstances have been stabilised.
ZAGREB, March 10 (Hina) - After the improvement of Croatia's credit
rating according to Standard & Poor which ranks now Croatia among
stable countries and Dun & Bradstreet which moved it from the high-
risk into the moderate-risk category, this country has brighter
prospects for foreign investment, as these changes signalise to
foreign financiers that Croatia's political and economic
circumstances have been stabilised.#L#
This is cited in a monthly analysis of economic indicators of
central and eastern European countries, made by Austria's
Raiffeisen Zentralbank.
According to Raiffeisen Zentralbank analysts, Zagreb cannot expect
an increase higher than 3.5 percent in the Gross Domestic Product
without foreign financial means.
As regards the national financial market, the analysts point out
two shares - of the Zagrebacka Bank and the leading pharmaceutical
company 'Pliva'.
The Zagrebacka Bank share reached the highest price over the year
and is expected to be record high soon. The reason for the rise is
speculation about possible take-over of the bank by several foreign
buyers that may be Italian UniCredito, German Allianz and French
Societe Generale.
The two shares are the main reason for the steady rise in the value
of the official index of the Zagreb Stock Exchange, CROBEX, which is
now over 900 points.
In addition, this increase of the index was also influenced by the
intensified trading with shares of the Dalmatinska Bank, as its new
majority owner, British Regent Europe Fund, has stepped up the
purchase of remaining shares on capital markets.
The analysis of Raiffeisen Zentralbank also underlines the
Croatian Government's announcement about the public auction in May
for the sale of 16 percent of the national telecommunication
company (HT), worth between 500 and 600 million euro.
(hina) ms