CROATIAN BUSINESS CONFIDENCE INDEX FALLS TO 47.6 IN APRIL

ZAGREB, April 16 (Hina) - Croatia's Business Confidence Index (BCI) fell to 47.6 points in April from 51.9 in March. The BCI thus fell for the second consecutive month. The value of the BCI can go from 0 to 100. In Croatia this index has been calculated since November 2000 when it was 48.1. Its highest value was registered in February with 52.3. Its value in April has been the lowest one so far. According to businessmen and employers who were covered by the survey, the main reasons for the low BCI are an increase in the hindrances in relation to corruption and impossibility to get favourable loans. Respondents in the poll cited high interest rates, corruption, tax policy and a lack of demand as main obstacles for the rise in the Business Confidence Index. The poll was conducted with assistance of the Croatian Employers' Association and the Tau council. It covered some 40 companies. Big companies accounted for over a half of them, and the rest were medium-sized and small companies. Big businessmen remained to be more optimistic than small and medium-sized entrepreneurs. For instance, in April the BCI was 54.4 among big companies, and only 40.7 among medium-sized and small firms. Since the start of its calculation in Croatia, the BCI has never fallen below 50 among big companies, whereas it has never reached 50 among small and medium-sized firms. (hina) ms