ZAGREB ZAGREB, Nov 22 (Hina) - A seminar on economic reform in Croatia and cooperation with international financial institutions, called "Transition: Challenges and Possibilities of Croatian Economy", was held in Zagreb on Monday. The
seminar was organised by the Emerging Market Economics Limited from Great Britain, the Centre for Economic Research and Business Services, and the Institute for International Relations from Zagreb. Economic experts focused on privatisation and investment possibilities, public sector management, and social issues. The participants in the seminar concluded that problems in privatisation resulted in poor company management, and that bankruptcy proceedings had not been implemented adequately, partly due to growing social problems like unemployment and the inefficiency of the legal system. It was said that growing problems in the banking sector had
ZAGREB, Nov 22 (Hina) - A seminar on economic reform in Croatia and
cooperation with international financial institutions, called
"Transition: Challenges and Possibilities of Croatian Economy",
was held in Zagreb on Monday.
The seminar was organised by the Emerging Market Economics Limited
from Great Britain, the Centre for Economic Research and Business
Services, and the Institute for International Relations from
Zagreb.
Economic experts focused on privatisation and investment
possibilities, public sector management, and social issues.
The participants in the seminar concluded that problems in
privatisation resulted in poor company management, and that
bankruptcy proceedings had not been implemented adequately, partly
due to growing social problems like unemployment and the
inefficiency of the legal system.
It was said that growing problems in the banking sector had had a
negative effect, as had the low level of domestic savings, and
relatively small foreign investments. The conclusion was that this
was partly the result of the insecure economic and political
environment on the Balkans, as well as of Croatia's inability to
establish a positive climate attractive to foreign investments.
Drazen Kalogjera of the Centre for Economic Research and Business
Services asserted that assessments of the success of Croatian
privatisation were very controversial. Only ten percent of 2,600
companies which initiated privatisation in 1992 have not yet been
privatised, he said.
Kalogjera claimed that many share-holders did not pay for what they
had purchased , and that some new owners were returning the
companies to the state. This, he added, gives no real insight into
what and how much has and has not been privatised.
The effectiveness of Croatian privatisation can be therefore
deduced according to the current economic situation, which is
critical, Kalogjera asserted.
Economy Minister Nenad Porges said the most important issue for
Croatia was how, how fast, and at what price to regulate relations
with the European Union.
(hina) ha jn