CROATIA SIGNS FINAL AGREEMENT WITH LONDON CLUB

ZAGREB, Jul 31 (Hina) - Croatian Finance Minister Bozo Prka and the chairman of the International Coordination Committee of Commercial Banks, Robert Gyenge, signed the final agreement on the swap of Croatia's debt to the London Club for Croatian government bonds in Zagreb on Wednesday. Under this agreement, Croatia takes the responsibility for about a third of former Yugoslavia's debt to the London club (US$ 1.461 billion out of US$ 4.5 billion). This debt is to be swapped against two series of Croatian government bonds - A and B, which are to be admitted to the Luxembourg Stock Exchange. "The admission of Croatian government bonds to the Luxembourg Stock Exchange once again confirms Croatia's reputation on international capital markets," Prka said after signing the agreement. "It will make it possible for Croatia to issue new bonds and raise fresh capital," he said. "This Agreements means our full financial independence for former Yugoslavia," Deputy Prime Minister Borislav Skegro commented. According to Gyenge, the Agreement means a "normalisation of relations between Croatia and the international financial community and a more intensive economic growth in Croatia." "The Agreement is an indicator that Croatia has a sound economy," he added. (hina) as 312023 MET jul 96