ZAGREB, Oct 9 (Hina) - "Doing Business in Croatia" is the title of a two-day conference which began in Zagreb on Thursday under the organisation of London's IBC UK Conferences. Participating in the conference are Croatian officials,
representatives of Croatian companies, representatives of foreign consulting companies, banks, lawyers' offices, multi-national companies and others.
ZAGREB, Oct 9 (Hina) - "Doing Business in Croatia" is the title of a
two-day conference which began in Zagreb on Thursday under the
organisation of London's IBC UK Conferences.
Participating in the conference are Croatian officials,
representatives of Croatian companies, representatives of foreign
consulting companies, banks, lawyers' offices, multi-national
companies and others. #L#
Croatian Economy Minister Nenad Porges made an introductory
speech, recalling that the stabilisation programme, which has been
implemented for years, had achieved significant results - low
inflation (3.4 percent in 1996), one of the lowest in countries in
transition and Europe, the budgetary deficit is below two percent of
Gross Domestic Product, the rate is stable, the growth of the GDP
and industrial production is constant and relations with the Paris
and London Clubs have been resolved.
In 1996, the increase in GDP was five percent, so the GDP per
citizen is US$ 4,500, Porges said.
Over 80% of state-owned companies had been privatised, he
said. About 55 to 60 banks are privately owned, changes have been
implemented in the legislative and legal framework of business,
which levels all companies, domestic and foreign, free transfer of
capital has been ensured, and tax reform will be completed with the
start of implementation of the Value Added Tax since 1998, he added.
Porges stressed the importance of foreign investments into
free zones, in which the rate of the profit tax was less than 50%
and was 17.5%.
Porges stressed that the government expected the continuation
of the trend of low inflation, stable rate, low budgetary deficit,
the annual growth of the GDP by about 7%.
The Croatian government would intensify negotiations about
agreements on CEFTA member countries and the access into the World
Trade Organisation.
Croatia was in a stable macroeconomic environment today,
structural reforms were under way, head of the Zagreb Office if the
International Monetary Fund, Gary O'Callaghan said.
He added that the IMF had so far granted two loans to Croatia
- the first Stand-by amounting to $ 200 million, and the second,
granted this March, amounting to $ 490 million.
The European Bank for Reconstruction and Development (EBRD)
had granted a total of $ 400 million of loans to Croatian
institutions, banks and companies since 1994 to 1997, head of the
EBRD office in Croatia, Juliet Sjoborg, said.
During the afternoon part of the conference, participants were
informed about the work of the Croatian Bank for Reconstruction and
Development (HBOR), process of privatisation, restructuring of the
power supply system and the legislative and legal framework for
foreign investment in Croatia.
(hina) lm
091434 MET oct 97