ZAGREB, June 15 (Hina) - The Croatian Government on Thursday determined amendments to the law on the execution of this year's budget, under which the Croatian Privatisation Fund (HFP) will be allowed to manage receivables the Republic
of Croatia has in companies shares of which the Government has in its portfolio. The Fund, with the consent of the Finance Ministry, will be able to write off, reschedule or transform debts, registered by 1 June 2000, into a owner's deposit. This will expedite the privatisation of the state-owned companies, assessed a Deputy Prime Minister, Slavko Linic. The work of 886 companies share of which the government possesses in the first two months showed that their entire obligations totalled 49 billion kuna, or 60 percent of their capital base. Of those 886 firms, 47 percent was insolvent, wile 29 percent was not able to pay longer than 360 days. These 886 companies employ 240,12
ZAGREB, June 15 (Hina) - The Croatian Government on Thursday
determined amendments to the law on the execution of this year's
budget, under which the Croatian Privatisation Fund (HFP) will be
allowed to manage receivables the Republic of Croatia has in
companies shares of which the Government has in its portfolio.
The Fund, with the consent of the Finance Ministry, will be able to
write off, reschedule or transform debts, registered by 1 June
2000, into a owner's deposit.
This will expedite the privatisation of the state-owned companies,
assessed a Deputy Prime Minister, Slavko Linic.
The work of 886 companies share of which the government possesses in
the first two months showed that their entire obligations totalled
49 billion kuna, or 60 percent of their capital base. Of those 886
firms, 47 percent was insolvent, wile 29 percent was not able to pay
longer than 360 days.
These 886 companies employ 240,125 workers. Of them, 154,180 work
in solvent firms, while 89,945 are in insolvent companies.
The Government adopted a report on the state budget's execution in
1999 with two additional texts - on the situation concerning the
national and public debts and one on guarantees.
Croatia's public debt with the date 31 December 1999 amounted to
46.26 billion kuna, and of it the foreign debts represented 29.5
billion. In the period from 1996 to 1999 guarantees, worth 24.5
billion kuna, were issued.
Thus the public and amount of the collateral was 67.7 billion kuna,
or 47.2 percent of the Gross Domestic Product, Finance Minister
Mato Crkvenac said.
According to Maastrecht criteria, Croatia is not highly indebted
country, but in recent years it has approached a high zone of
indebtedness.
(hina) jn ms