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CROATIA AND EIB SIGN FRAMEWORK CO-OPERATION CONTRACT

ZAGREB, Dec 13 (Hina) - Croatian Finance Minister Mato Crkvenac and the European Investment Bank (EIB) Vice President Ewald Nowotny on Wednesday signed a framework agreement on the cooperation between Croatia and this bank.
ZAGREB, Dec 13 (Hina) - Croatian Finance Minister Mato Crkvenac and the European Investment Bank (EIB) Vice President Ewald Nowotny on Wednesday signed a framework agreement on the cooperation between Croatia and this bank.#L# The contract lays foundations for all further activities of the EIB in Croatia, Nowotny said adding that the document was also important as it made possible for the Bank, owned by European Union member-states, to act in Croatia in accordance to the same principles which it applied in countries-applicants for the EU membership. Besides, the agreement is yet another step in Croatia's bids to come closer to the EU, as the return of the EIB to Croatia was the consequence of the political decision of the EIB owners, he explained. After the ceremony of the signing of this document in Zagreb, Minister Crkvenac said the EIB was currently preparing to invest approximately 250 million euro in Croatia. The agreement was signed at the best possible moment for Croatia, now when the parliament should adopt the budget for 2001 and when projections of budgets for coming three years were being drawn up. Therefore this contract with the EIB should facilitate negotiations between Zagreb and other international financial institutions, Crkvenac added. During this visit we agreed on three concrete projects - the financing of the railway line between Beli Manastir and Vrpolje (eastern Craotia), loans for small and medium-sized businesses particularly in the field of tourism (which should be done in cooperation with the Croatian bank for Reconstruction and Development) and the financing of the upgrading of the safety and security at the airport of Zagreb, the EIB Vice President said. In 2000, this bank earmarked approximately 33 billion euros in three basic fields of its activities - the long-term loans for infrastructure projects, loans for small and medium-sized businesses and the financial support to joint venture societies. Therefore it has become a leading world bank in relation to investments and the EIB would like to become active in these three segments in Croatia as well. Besides, Crkvenac and Nowotny discussed the EIB's possible active participation in projects of the environmental protection of the Adriatic and its cooperation with the Croatian joint stock company for the management over highways which should soon be established. (hina) ms

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