CRO NATIONAL BANK'S COUNCIL ACCEPTS REPORT ON FIRST SIX MONTHS

ZAGREB, Sept 22 (Hina) - The Croatian National Bank's Council on Wednesday accepted a report on economic and monetary movements in the first six months of 1999 which will be forwarded to the Croatian National Sabor. During Wednesday's session chaired by the Central Bank's Governor, Marko Skreb, it also endorsed expectations and starting points of a monetary policy for the last quarterly of this year, the Bank said in a statements. To maintain the stability of exchange currency rates and to maintain stable prices are further the basic characteristic of the monetary policy, while measures and instruments will be adjusted to the real developments. The Council also considered reports of temporary administrators in Agroobrtnicka Banka Zagreb, Hrvatska Gospodarska Banka Zagreb, and Promdei banka Zagreb. According available indicators on losses and the depth of disorder none of them has prospects of stabilisation by its own strength and means. Therefore, the central bank has tried to stimulate bigger and stable Croatian banks to take over some of above mentioned three financial institutions. Some banks have shown interest in taking over Hrvatska Gospodarska Banka and Agroobrtnicka but none has been seriously interested in taking over Promdei Banka, losses of which surpassed its capital base by 98.7 million kuna. That's why a bankruptcy procedure is likely to be opened for that bank. (hina) ms