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RACAN, SCHROEDER SATISFIED WITH TALKS - EXTENDED

BERLIN, Feb 16 (Hina) - Croatian Premier Ivica Racan and his host, German chancellor Gerhard Schroeder, on Wednesday voiced satisfaction with today's talks on Croatia's integration with the European Union and Croatian-German bilateral relations. Schroeder told reporters the talks Racan and a Croatian delegation held with him and other high-ranking German officials had been "important and extremely successful," adding he was "very glad a certain progress has been made during the talks," both in bilateral and multilateral issues.
BERLIN, Feb 16 (Hina) - Croatian Premier Ivica Racan and his host, German chancellor Gerhard Schroeder, on Wednesday voiced satisfaction with today's talks on Croatia's integration with the European Union and Croatian-German bilateral relations. Schroeder told reporters the talks Racan and a Croatian delegation held with him and other high-ranking German officials had been "important and extremely successful," adding he was "very glad a certain progress has been made during the talks," both in bilateral and multilateral issues.#L# As regards bilateral cooperation, the two sides established its directions, he said, but added Croatia had to carry out economic reforms. Schroeder said Germany was willing to grant Hermes guarantees for certain projects in Croatia. These are guarantees which the German government grants German companies for investing abroad. The German chancellor reminded a donors' conference within the Stability Pact for Southeast Europe was planned for late March, pointing out Germany would extend opportunities for more active participation in certain projects to those countries within the Pact which made huge steps forward in democracy . Democratisation in Croatia and Racan's victory at January's parliamentary elections were important for Croatia, as well as for democratisation in the entire region, Schroeder said. According to Croatia's new premier, the support Germany has been giving Croatia in the past is extremely important to the newly- elected government. This support is important for expediting Croatia's access to the European Union and NATO, as well as in connection with bilateral cooperation, he said. "Croatia is not looking for any grant-in-aid for imaginary things. We want to be a good political partner to the EU and Europe's countries, and we want to prove that we can be a good economic partner as well. In this respect, are interests are congruent," said Racan. He reiterated what he said during recent visits to Lisbon and Brussels, namely that Croatia's new government was "willing to be evaluated not only by what it says and by its programme, but also by what it is doing in its realisation." In a separate press conference with Croatian reporters, Racan said he was "really satisfied" with the talks Croatia's delegation, which also included Foreign Minister Tonino Picula and European Integration Minister Ivan Jakovcic, held in Berlin. A meeting with the German parliament's foreign affairs committee, which he said resulted in exceptionally good suggestions for future cooperation, had also been very positive. The Croatian delegation today also met with some 60 German businessmen and bankers. Racan announced the possibility of cutting taxes on new investments and projects increasing the employment rate. He also spoke about the Croatian government's programme which envisages saving measures, a stable currency rate, and the restoration of trust in banking. The German Chamber of Commerce will soon open its offices in Zagreb, the premier told the Croatian press, and announced the arrival of a large group of German businessmen, who should visit in a month to investigate possibilities of investing in Croatia. Racan said today's talks did not discuss concrete projects of cooperation, but its directions. Summing up his impression of the recent visits to Berlin, Lisbon, and Brussels, Racan said they had been an opportunity of historical character which should be used. He announced the government's next session would focus on how to organise and what to do to effectively respond to all the suggestions the Croatian delegation was given, in view of using the chance Croatia was offered. (hina) ha mm

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