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PRICES OF MEDICINES DROP BY 22 PERCENT

ZAGREB, Nov 2 (Hina) - The introduction of a zero Value Added Tax (VAT) rate on medicines, orthopaedic aids, and implants effective 1 November will help the Croatian Health Insurance Bureau (HZZO) save between US$14 million and US$21 million in November and December, and between US$71 million and US$85 million annually, HZZO director Branko Malenica said on Tuesday. The zero VAT rate has cut the prices of medicines and other medical products by 22 percent. Speaking about HZZO's debts to drugstores, Malenica said the HZZO was presently obligated to pay US$42.3 million for debts exceeding the 90-day settlement deadline. He explained the HZZO currently effects payments within 130 or 140 days. This is better than in the summer, and the 15-minute strike drugstore employees have announced for Wednesday is unjustified, he added. HZZO's debt totals US$428.6 million. Malenica conceded the situation was serious, but added it had b
ZAGREB, Nov 2 (Hina) - The introduction of a zero Value Added Tax (VAT) rate on medicines, orthopaedic aids, and implants effective 1 November will help the Croatian Health Insurance Bureau (HZZO) save between US$14 million and US$21 million in November and December, and between US$71 million and US$85 million annually, HZZO director Branko Malenica said on Tuesday. The zero VAT rate has cut the prices of medicines and other medical products by 22 percent. Speaking about HZZO's debts to drugstores, Malenica said the HZZO was presently obligated to pay US$42.3 million for debts exceeding the 90-day settlement deadline. He explained the HZZO currently effects payments within 130 or 140 days. This is better than in the summer, and the 15-minute strike drugstore employees have announced for Wednesday is unjustified, he added. HZZO's debt totals US$428.6 million. Malenica conceded the situation was serious, but added it had been somewhat alleviated by budgetary transfers and funds earned with the sale of 35 percent of Croatian Telecom shares. (hina) ha jn

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