CRO OFFICIALS AND IMF REPS TO DISCUSS CONSEQUENCES OF NATO ACTION

WASHINGTON, April 8 (Hina) - Croatia will start talks with the International Monetary Fund and the World Bank on ways to alleviate negative economic impact in Croatia following the NATO air strikes against Yugoslavia (Serbia/Montenegro), announced Croatian Finance Minister Borislav Skegro on Wednesday. Skegro and the Croatian National Bank (HNB) Governor, Marko Skreb, will hold talks with officials of these two financial institutions in Washington on Thursday and Friday. They will use this opportunity to continue negotiations on overall relations between Croatia and the International Monetary Fund (IMF). Croatia and the IMF concluded stand-by arrangements concluded five years ago, but the promotion of relations was thwarted first of all by developments in countries bordering with Croatia. The talks should help to cover inevitable budget and balance-of- payments deficit, Skegro said. He added that his country was suffering damage in traffic and tourism as well as in other areas of business with foreign countries due to the current NATO operation. The director-general of the Croatia Airlines, Ivan Misetic, reported that this company lost one million dollars during the first six days of NATO air raids. Final data will be known at the end of April, Misetic added. (hina) jn ms