ZAGREB, March 30 (Hina) - Croatian Finance Minister Borislav Skegro and the Ambassador of the United States to Croatia, William Montgomery, on Tuesday signed a contract on a loan for financing the purchase of goods and services from
the United States for the construction of Bregana-Zagreb-Dubrovnik highway. Skegro and Montgomery described Tuesday's act of signing as very important for the promotion of good relations between Croatia and the United States. It is the first loan approved by the US Administration to Croatia. The loan is valued 228 million dollars and should be paid off in 14 years with four and a half years of the grace period and the interest rate slightly higher than 5 percent. It was granted by The Chase Manhattan Bank, while the collateral was given by US Exim Bank. Ambassador Montgomery added that the signing of the contract on the loan would enable the Bechtel company to implem
ZAGREB, March 30 (Hina) - Croatian Finance Minister Borislav Skegro
and the Ambassador of the United States to Croatia, William
Montgomery, on Tuesday signed a contract on a loan for financing the
purchase of goods and services from the United States for the
construction of Bregana-Zagreb-Dubrovnik highway.
Skegro and Montgomery described Tuesday's act of signing as very
important for the promotion of good relations between Croatia and
the United States.
It is the first loan approved by the US Administration to Croatia.
The loan is valued 228 million dollars and should be paid off in 14
years with four and a half years of the grace period and the interest
rate slightly higher than 5 percent. It was granted by The Chase
Manhattan Bank, while the collateral was given by US Exim Bank.
Ambassador Montgomery added that the signing of the contract on the
loan would enable the Bechtel company to implement a project for the
construction of the first section of the Bregana-Zagreb-Dubrovnik
highway. He voiced satisfaction and thanked the Croatian
government for accepting a project for building the Jertovec
thermo-power plant. The project was offered by the American firm
Enron.
Minister Skegro stressed that his country needed such a loan for
reconstruction of the infrastructure which was either affected by
war or had been in bad conditions for decades.
During this turmoil in the region such projects and cooperation
between Croatia and the United States can serve as signposts to all
how to continue the economic development, he added.
Skegro said the finance ministry had done its job and now it was up
to the transport and telecommunications ministry, the Croatian
Roads company and Bechtel to commence the construction of the first
section of the aforementioned motorway.
The director of the Croatian Roads, Aleksandar Caklovic, said about
1,000 Croatian workers would be engaged in the building of the first
section of the highway and that about 70 percent of the job would be
performed by Croatian companies. He added that the total length of
the section from Bregana to the Croatian border with Bosnia-
Herzegovina amounts to 120 kilometres.
Present at Tuesday's signing ceremony were also representatives of
The Chase Manhattan Bank and US Exim Bank.
(hina) ms