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Italy concerned about Croatia fixing Swiss franc/kuna exchange rate

Author: vmic
ZAGREB, Feb 16 (Hina) - Italian Senate Speaker Pietro Grasso has called on Croatia to reconsider its decision to fix the Swiss franc/Croatian kuna exchange rate for loan holders.

"The burden the Italian banks must take on is not negligible. I understand the situation Croatian debtors are in, but we call for the situation to be looked at from the viewpoint of the banks too," Grasso said during a meeting with Croatian Parliament Speaker Josip Leko in Zagreb on Monday.

Recalling that two leading banks in Croatia were Italian-owned, Leko expressed hope that they would focus more on improving trade between Croatia and Italy. He said that the problem of Swiss franc-denominated loans in Croatia was a complex issue reflecting social, economic, financial, political and security aspects, according to a Croatian Parliament press release.

"No one is innocent in that regard. Some people entered into such a relationship knowingly and some unknowingly, but what is certain is that holders of franc-denominated loans are now paying back what they did not get. Such practice has been unacceptable since the time of Roman law," Leko said.

Leko expressed hope that the Croatian government would find, in cooperation with the banks and the Franak association of holders of franc-denominated loans, a lasting and compromise solution to this problem.

Grasso and Leko concluded that Italy and Croatia had good neighbourly and friendly relations and that the two countries were partners, expressing hope that they would find solutions to outstanding issues.

They agreed that in oil and gas explorations in the Adriatic Sea it was important to take account of environmental protection and sustainable development. Grasso expressed satisfaction with the status of the Italian minority in Croatia.

Grasso had arrived in Zagreb to attend the inauguration of Croatian President Kolinda Grabar-Kitarovic on Sunday. He said that by choosing a woman as president, Croatia had shown democratic maturity. He recalled that Italy too had recently elected a new head of state, Sergio Mattarella, and expressed hope that cooperation between the presidents of Italy and Croatia would be successful.

(Hina) vm

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