RIJEKA SHIPYARD GRANTED LOAN FOR CONSTRUCTION OF TWO SHIPS

ZAGREB, Sept 26 (Hina) - A $48.880 million loan for the construction of two ships for foreign commissioners was signed in Zagreb on Friday by Vladimir Brusic, Director-General of the "3. Maj" shipyard of Rijeka, and Richard Muir, Vice-President of the London-based bank Merrill Lynch International. The guarantee for the loan, in the amount of $12.927 million, was signed on behalf of the Croatian government by Deputy Finance Minister Mijo Jukic. The government is obliged to ensure timely delivery of ships and will have to return the loan if the terms of the contract are not fulfilled, which was a condition for getting the job and its financing, Jukic said. Jukic said that the signing of the contract was a result of Merrill Lynch's very good cooperation with the Rijeka shipyard and the Croatian government. He added that the London bank had great confidence in the Croatian shipbuilding industry and economy as a whole. Brusic said that an agreement had been reached on the construction of two more ships, for which contracts were expected to be signed in November. (hina) vm mm 261603 MET sep 97