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CROATIA EXPECTS USD4.5 BILLION FROM TOURISM IN 2002

ZAGREB, Dec 27 (Hina) - According to this year's results, the Croatian tourism approached to a successful pre-war 1991, while accommodation facilities have been engaged for additional 15 days as against 1991. In relation to 2000, tourists spendings have increased by 35 percent, and due to a wider offer, tourist arrivals have balanced out throughout all Croatian tourist regions, the tourism minister, Pave Zupan-Ruskovic, said Thursday. The minister said she understood the reason for the ministry being allotted with only 58.2 million kuna from the 2002 state budget, which is the same amount as in 2001. The additional 102 million kuna from the Development and Employment Fund are assumed for subsidies and support to domestic tour-operators for organised tourist arrivals and the stimulation of private tourism businesses. As in 2001, 45 of 58.2 million kuna for the ministry have been assumed for
ZAGREB, Dec 27 (Hina) - According to this year's results, the Croatian tourism approached to a successful pre-war 1991, while accommodation facilities have been engaged for additional 15 days as against 1991. In relation to 2000, tourists spendings have increased by 35 percent, and due to a wider offer, tourist arrivals have balanced out throughout all Croatian tourist regions, the tourism minister, Pave Zupan-Ruskovic, said Thursday. The minister said she understood the reason for the ministry being allotted with only 58.2 million kuna from the 2002 state budget, which is the same amount as in 2001. The additional 102 million kuna from the Development and Employment Fund are assumed for subsidies and support to domestic tour-operators for organised tourist arrivals and the stimulation of private tourism businesses. As in 2001, 45 of 58.2 million kuna for the ministry have been assumed for the Croatian Tourism Board (HTZ) for the promotion, participation at fairs and international cooperation. Zupan-Ruskovic said she did not expect significant changes in Croatian tourism, particularly in the tourists' turnout, the increase of which is expected to reach a mere 5 percent due to the lack of accommodation facilities. But, positive changes are expected with the extended season and the quality offer to which a EUR20 million loan to Croatian hotels by the London Standard Bank should contribute. The relevant agreement should be signed by the end of January 2002. She also added the financial effect should be by 20 percent better. The foreign currency turnover is expected to reach at least USD4.5 billion (this year USD3.6 billion). The minister recalled the continuation of the privatisation process and negotiations with the European Bank for Research and Development (EBRD) on the privatisation of Croatian strategic tourism companies which should result in the signing of an agreement in mid January 2002. By this, the EBRD would have an obligation to privatise the companies and bring famous and acknowledged names from the hotel business to Croatia within the following year. (hina) np sb

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