ZAGREB, Apr 14 (Hina) - Croatia's oil giant INA on Wednesday announced it would repeat its request to the government for permission to increase oil prices. INA's request for a 7.5 percent increase was rejected on Tuesday, but the
company's general director, Davor Stern, announced INA would repeat its request after a parliamentary debate on higher expenditure taxes. Stern explained the price increase was due to higher prices of oil on the world market, and the rise of the U.S. dollar in relation to Croatia's kuna. INA's net profit in 1998 topped US$16.6 million, while the amount the year before was US$5.9 million, Stern told reporters in Zagreb. He estimated that, without changes to the price of oil products, no further drops in the U.S. dollar rate, and no increases in prices on the world market, INA would lose US$5 million a month, with the annual loss of US$60 million. Asked
ZAGREB, Apr 14 (Hina) - Croatia's oil giant INA on Wednesday
announced it would repeat its request to the government for
permission to increase oil prices.
INA's request for a 7.5 percent increase was rejected on Tuesday,
but the company's general director, Davor Stern, announced INA
would repeat its request after a parliamentary debate on higher
expenditure taxes.
Stern explained the price increase was due to higher prices of oil
on the world market, and the rise of the U.S. dollar in relation to
Croatia's kuna.
INA's net profit in 1998 topped US$16.6 million, while the amount
the year before was US$5.9 million, Stern told reporters in
Zagreb.
He estimated that, without changes to the price of oil products, no
further drops in the U.S. dollar rate, and no increases in prices on
the world market, INA would lose US$5 million a month, with the
annual loss of US$60 million.
Asked about the possible effects of NATO air strikes against
neighbouring Yugoslavia, and an expected poorer tourist season in
particular, on INA's marketing plan, Stern said he hoped the
situation would soon return to normal.
He does not expect a major drop in the sale of oil products, because
he believes the visit of tourists arriving in their own cars will
stay at least the same as last year's level.
Stern expects sales will rise when the situation in Yugoslavia has
returned to normal. Given that local refineries have been destroyed
in the NATO strikes, there is a possibility the Yugoslav market will
demand oil products. Refineries take a long time to be
reconstructed, so Croatia's refinery in Sisak will attain a central
position in this part of Europe, Stern said.
(hina) ha/sp jn