ZAGREB, Feb 15 (Hina) - The Croatian Government today passed a
Decision on the rehabilitation and restructuring of Splitska Banka
and Rijecka Banka.
According to Prime Minister Zlatko Matesa, this is the
"continuation of the Government's efforts to rehabilitate and
reconstruct the Croatian banking system so that it may fulfill its
role of stimulating the market economy."
The 1996 budget earmarked 808 million kunas for bank
rehabilitation and restructuring, Deputy Finance Minister Mijo
Jukic said.
Furthermore, the Government will issue 552 million kuna worth
of bonds for the rehabilitation of Rijecka banka and 765 million
kuna worth of bonds for Splitska banka. The funds will be used for
covering losses and injecting fresh capital into the two banks.
(hina) as
151247 MET feb 96
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