CRO PARLIAMENT STARTS DEBATE ON NEW PRIVATISATION BILL

ZAGREB, April 26 (Hina) - The Croatian parliament on Thursday started a debate on a privatisation bill which is aimed at facilitating the privatisation process in some 1,400 companies with the nominal value of some 26.6 billion kuna. In order to accelerate the privatisation process and make it more efficient, it has been suggested that the shares of all companies owned by the Croatian Privatisation Fund (HFP), the State Agency for the Insurance of Savings Deposits and Bank Rehabilitation, and health and pension insurance funds be united in a state portfolio which would be managed by the HFP, Economy Minister Goranko Fizulic said explaining the bill. The bill envisages five models for the sale of shares: at their book value; to the company's employees under very favourable conditions; to Croatian citizens at a discount and payment in instalments; through direct agreement; and at a price of one kuna on condition the buyer is bound to cover the company's debts. Fizulic said the buyers of shares would be granted the right to dividends and all other rights related to the registered package even before they buy it off and not, as is the case now, to receive dividends only for the shares they have paid off because this has a discouraging effect on small investors. (hina) sb rml