BILL ON DEFENCE ADOPTED BY LOWER HOUSE, TO BE DISCUSSED BY COMMITTEE ON ADJUSTMENT

ZAGREB, Jan 25 (Hina) - The Croatian parliament's House of Representatives on Thursday adopted a bill on defence which reduces military service from 10 to six months and civilian military service from 15 to eight months. Under the law, military service for conscripts who started doing their military service by August 31 and after that date will be reduced by 30 and 60 days respectively. Nevertheless, the law will have to be discussed by the Committee on Adjustment. The bill is debated equally by both parliamentary houses and the lower house tonight rejected an amendment by the House of Counties that civilian military service be reduced to 12 instead of eight months. The lower house also adopted a law on housing saving and state incentives for housing saving. The law will enable citizens to seek more favourable housing loans from saving banks and pay them under more favourable terms than before. Under the law, foreign banks will also be able to establish housing saving banks, which should result in better competition and a fall in interest rates on housing loans. Towns and municipalities will be able to participate in housing saving and state incentives for that purpose will be paid annually instead of quarterly as was the case until now. The parliament also adopted several bills in the first reading: on agriculture, misdemeanour and offence, Croatian National Bank and the foundations of the foreign currency system. The lower house resumed its work with a debate on a final bill on the environmentally safe production of agricultural and food products. (hina) rml