ZAGREB, Nov 12 (Hina) - All projects that Croatia is financing with funds from the World Bank are being implemented very well and on average, better than in other countries, the Bank's vice president for Europe and Central Asia,
Johannes Linn, said in Zagreb on Tuesday.
ZAGREB, Nov 12 (Hina) - All projects that Croatia is financing with
funds from the World Bank are being implemented very well and on
average, better than in other countries, the Bank's vice president
for Europe and Central Asia, Johannes Linn, said in Zagreb on
Tuesday. #L#
Linn met on Monday with representatives of the Croatian Government
and completed a second annual joint portfolio review of projects
financed by the World Bank in Croatia. He was also received by Prime
Minister Ivica Racan.
The joint evaluation is that projects are being implemented well
and on average, better than in other countries, Linn told
journalists.
Since 1993 when Croatia became a member of the World Bank, that
institution has financed a total of 21 projects with a total value
of US$1.065 billion of which US$682 million have been drawn to
date.
Commending the government for progress achieved so far,
particularly with regard to the improved macro-economic stability,
the increased rate of economic growth, and all-round very promising
reforms, Linn pointed out that Croatia was on a good path and he
expressed the readiness of the World Bank to continue assisting
Croatia.
In that regard he stressed the World Bank's willingness to support
intended reforms in Croatia's state administration, the judiciary
and the education system.
Asked by journalists if there was a possibility that the World Bank
could become a little reserved towards Croatia in light of the
recent cooling of relations with the European Union because of the
issue of co-operation with the Hague-based war crimes tribunal
(ICTY), Linn emphasised that the World Bank, as a primarily
financial and economic institution, did not meddle in such
political issues which were not in its jurisdiction.
Addressing the same news conference, the World Bank's director for
Bulgaria, Croatia and Romania, Andrew Vorkink, said that in the
next three years Croatia could expect US$200 million annually,
depending only on the continuation of reforms and if projects were
prepared on time.
The World Bank and the Croatian government are working together on a
Country Economic Memorandum which will present progress achieved
so far in a series of sectors, as well as identify key measures
necessary so that in the medium term, Croatia can become a member of
the EU, Linn said.
According to Vorkink, negotiations have commenced on reform
projects in state administration and the judiciary, as well as the
fight against corruption, the strengthening of the private sector
and others.
Reform projects in state administration could be worth US$200
million, depending on the agreement with the Croatian government,
and could extend over two to three years, Vorkink said. He added
that a project was being developed to improve the infrastructure in
Rijeka and its surroundings, the Rijeka Gateway Project, valued at
US$300 million, of which US$150 million would be secured by the
World Bank, specifically for the northern Adriatic port's
harbour.
According to World Bank leaders, a project relating to water
protection in the Adriatic is also being prepared, i.e. a
development project of water supply and sewerage systems in coastal
towns, including the islands. The project is valued at US$250
million and the World Bank will secure around US$100 million.
A project valued at virtually US$150 million involves social
security as well as a loan for social revival which relates to areas
of special state concern. The World Bank intends to ensure US$50-60
million for this project.
By mid-next year, a project should be ready relating to science and
technology development with a value of US$30-50 million.
Two power projects, one relating to renewable power sources and one
to power efficiency, valued at US$40 million are also being
considered. Half the amount will be secured by the World Bank
through a deed of donation, Vorkink said.
(hina) sp/ha sb