ZAGREB, August 3, 2019 - MP Gordan Maras of the opposition Social Democratic Party (SDP) said on Friday that the decision by the State Electoral Commission (DIP) to fine his party 86,000 kuna (€11,650) over a sticker he had displayed on his laptop in the Croatian Parliament during the campaign for May's European Parliament election was scandalous and that the DIP was subordinate to the ruling Croatian Democratic Union (HDZ).

"This is a scandalous decision and I hope higher instances will quash it," Maras told a press conference, adding that "the HDZ has usurped the DIP."

He said that during the EU election campaign "an entire retinue of ministers" had travelled around Croatia, spending millions of taxpayers' money, while he had only expressed his opinion through a sticker.

The DIP decided that Maras had violated the Election Campaign Financing Act because he had used the premises of a state institution for campaigning. Maras argued that laws say the national parliament is a public place, defined as a meeting hall, and not as an office space.

Maras insisted that he had not violated the law or the constitution, adding that under the constitution MPs cannot be punished for expressing their opinions. He said that the HDZ had exerted pressure on the DIP because he was an obstacle to the HDZ due to his anti-corruption rhetoric.

Asked to comment on the fact that the DIP's decision was unanimous and that the SDP's Vesna Fabijančić Križanić was the DIP's deputy chair, Maras told the press that they would have to ask her.

More SDP can be found in the Politics section.

ZAGREB, Aug 3, 2019 - In an interview with Croatian Radio on Friday, President Kolinda Grabar-Kitarović welcomed the tax reform, but said she was disappointed with it to some extent.

She said that she had expected greater tax reliefs for all categories whose income could have been increased "with other measures."

The president said that priorities could have been ordered a little better in the fourth round of the tax reform. "I advocate decreasing the tax burden on entrepreneurs and increasing workers' incomes," she said.

Grabar-Kitarović said she was unhappy that the recent government reshuffle did not include the Health Ministry. "The labour drain is due to working conditions and not wages. The situation in the health sector is perhaps not disastrous but it is truly in a very poor state and almost nothing has been done in the past three years. I am sorry that the Health Ministry wasn't included in the last government reshuffle," she said.

Asked whether she would uphold an opposition call for an extraordinary session of parliament to debate a vote of no confidence in Health Minister Milan Kujundžić, the president said she would not interfere in that.

She explained that her primary role is to ensure the stability of institutions. "This is a matter of the health sector functioning and I think that we need a good manager here who can, but need not be a physician and that objections by medical staff have to be taken seriously," Grabar-Kitarović underscored.

Asked when she would officially announce her bid for a second term as president, Grabar-Kitarović said that that would certainly be after the celebrations for Victory Day and the anniversary of Operation Storm.

She considers that the fall in the Croatian Democratic Union's (HDZ) approval ratings over the past six months has not affected her rating because she is a non-partisan who comes from that party.

The president said that she would like to go to a concert by Marko Perković Thompson in Split, and welcomed the fact that he called on the public to only wear insignia of the victorious Croatian army because the Homeland War is the foundation of modern Croatia.

"I think I would like to stop by his concert. I have never hidden that fact and I have already attended some of his concerts," she said.

Commenting on bilingual signs in Vukovar, Grabar-Kitarović said that they can be put up when the war wounds, which are still visible at every step, have healed.

"I support Vukovar Mayor Ivan Penava because we are all human. On the one hand his job is extremely difficult because he is trying to ensure justice for all, and we haven't faced up to the crimes that occurred there from Borovo Selo onwards," said the president.

She added that the judiciary was still waiting, yet she would like to see it embark on resolving war crimes.

More news about presidential elections can be found in the Politics section.

ZAGREB, August 2, 2019 - The City of Zagreb's billboards were used during campaigning for May's European Parliament election to covertly promote the political party of Mayor Milan Bandić and were paid for with money from the city budget, the State Electoral Commission (DIP) said in a report on Friday.

The report said that an inspection of campaign financing had found that jumbo posters with information about the City of Zagreb, were paid for from the city budget and were in fact covert electioneering by Bandić's party.

City authorities put up 175 jumbo posters on billboards during the election campaign which all carried the City of Zagreb logo and promoted various events and achievements by the city.

The DIP said that the number of posters displayed in 2019 was disproportionately higher than in 2018. Last year 20 jumbo posters were displayed while in 2017 that number was 60.

"It was observed that in an election year the City of Zagreb advertised a considerably larger number of posters than it has done normally in previous years (...) which leads to the conclusion that advertising during electioneering cannot be considered as the normal provision of information to the citizens of Zagreb about the city authority's activities," the DIP concluded, adding that it was obvious that this was covert electioneering.

The report further notes that Mislav Kolakušić's slate used funding from the Anti-Corruption Platform NGO, of which he himself is the president.

Kolakušić used stands issued to the NGO to promote his slate during the election, and the DIP decided that this was an impermissible method of financing.

Kolakušić's election financing report noted that his slate had bought one information stand, yet during the electioneering several were used.

The DIP also ascertained that the Živi Zid party did not pay donations exceeding 5,000 kuna into the state budget as prescribed by the law and that contracts that the party concluded were not in accordance with the law.

The Independents for Croatia party and the Work and Solidarity Party of Zagreb Mayor Milan Bandić did not pay funding obtained from unallowable sources into the state budget, the report said.

The DIP further noted that none of the participants in the European election exceeded the amount prescribed for electioneering of 4 million kuna. The Croatian Democratic Union (HDZ) spent the most - a little more than 3,970,000 kuna, while the Social Democratic Party (SDP) spent almost 3,500,000 kuna. Bandić's Work and Solidarity Party spent a little more than 2 million kuna.

The DIP found that 33 participants in the election spent almost 17 million kuna, while total income from all those participating in the election amounted to just over 15,300,000 kuna, and 2,100,000 kuna was raised in donations.

More news about elections in Croatia can be found in the Politics section.

ZAGREB, August 1, 2019 - Commenting on President Kolinda Grabar-Kitarović's statement in Israel that Bosnia and Herzegovina is controlled by "militant Islam", which she has denied, Zoran Milanović said that during trips abroad, especially to the Middle East, one should discuss such matters as little as possible, and added that he believes that this information "leaked from the Israeli president's team."

"In fact, they (the Israelis) should apologise to Kolinda Grabar-Kitarović, and she should pick her interlocutors more carefully and watch what she says," the Social Democratic Party's (SDP) candidate for President of the Republic said during a visit to the northwestern town of Čakovec on Wednesday evening.

Milanović believes that the president's statement has not done much damage, "although this is the president's third major misunderstanding with the press in a very short time." He said that that was "very unfair of the host, who is apparently our strategic partner, although we have declared them so, they did not declare themselves that."

He said it was inconceivable to him that after a closed-door meeting between two presidents such things should appear in the press. "That never happens," he stressed.

"This is the first time I see this happen. It was someone from the Israel president's team who leaked it to the journalist, and when they saw that they caused damage and offended the guest, they tried to mend the situation a bit, but that's not how things go," Milanović said.

"Next time she should be careful who she is talking to. She'd better not declare everyone a strategic partner, because she told Iranians the same thing two years ago. People see that, it's flippant, insincere and it's not going anywhere. But the most important thing is that we don't get into trouble because of that. Pushing to become a strategic partner to Israel, a country that is in serious trouble, a country that I support, but I don't support the policy of its government because its policy is not the one being pursued by EU member states," Milanović said. "We don't want to cause a fire with an exaggerated statement because we are not a country that should be rushing to the front ranks in certain matters," he added.

Commenting on the government's plan to buy back the Hungarian energy group MOL's stake in the INA oil company, Milanović said: "They made a promise no one forced them to and were aware that they would not deliver it. A realistic solution is to put pressure on the other side."

"How did they get the 45 percent and later acquire even more shares? Which party made that possible? Now they want to clean up what they soiled 15 years ago, but nothing will come of it," he said.

He said that this government was sympathetic to Hungarian Prime Minister Viktor Orban, whom he described as "a mockery of European democracy". "He does not respect Croatia but is mocking us," he added.

"In the 1990s Hungary was a very good ally to us. As a member of the diplomatic service at the time, I can say that they were more supportive of us than the Germans and Austrians. Things are different now," Milanović said.

More news about presidential elections can be found in the Politics section.

ZAGREB, July 27, 2019 - The Social Democratic Party's (SDP) candidate for President of the Republic, Zoran Milanović, said on Friday that the latest government measures to reduce income tax for people under the age of 30 and lower the VAT rate on tourism services were not a tax reform.

"Something that is done in four steps cannot be a reform. This is just sounding out the situation and it need not end badly. I can understand some of the things that have been done and I welcome them as a continuation of what was begun in January and February 2015, Milanović said, referring to the time when his government was in office.

"This is not a reform, nor do I think that Croatia needs a tax reform. What it needs is constant monitoring and correcting. These are trial-and-error changes. I have to say that there haven't been many errors so far, but this is a continuation of what was begun in 2015. I can't see why it was necessary to abolish and then reinstate a lower rate for tourism. Such moves only cause unnecessary uncertainty. If possible, taxes should be reduced. This government has entered into a good inertia for which prerequisites were created before," he told the press during a visit to the eastern city of Osijek.

Asked what his relationship with Prime Minister Andrej Plenković would be like if he became President, Milanović said that he would not be destructive nor would he spite the government. He also said that he would not seek the prime minister's resignation. "A President of the Republic should not do that. We saw it five years ago and that's not good. I won't be banging my fist on the table. You can't trust those who say they will, just as you can't trust them when they say that Croatia will be as rich as Switzerland. But Croatia can be as normal as Switzerland, I can promise that."

He declined to comment on other presidential candidates "for tactical reasons," adding that he hoped he would win the race.

Commenting on the death of the first Croatian soldier in Afghanistan this week, Milanović said that the Croatian contingent should be scaled down and that this idea should be discussed. He recalled that when he became prime minister the Croatian contingent in Afghanistan was 350-strong.

"We reduced their number to 50 and now there are 90 of them. I think this number should be reduced because it's not just that it's not our war but it's not NATO's war either because they also do police work there. It's an unnecessary risk," Milanović said.

He recalled that the Croatian army had been present in Afghanistan since 2003 when he was assistant foreign minister, and that he had discussed their deployment with the then prime minister Ivica Račan and foreign minister Tonino Picula.

He said that at the time Croatia was an aspirant for NATO membership and that by deploying its troops to Afghanistan it wanted to show its readiness to assume certain obligations in the alliance.

"In a way I feel responsible for the deployment of Croatian troops there. I will go there, just as (former president) Ivo Josipović and I withdrew Croatian troops from the Golan Heights when they found themselves in danger. A withdrawal of the Croatian troops from Afghanistan is a topic that should be discussed," Milanović concluded.

More news about presidential elections can be found in the Politics section.

ZAGREB, July 25, 2019 - The Social Democratic Party's (SDP) candidate for President of the Republic, Zoran Milanović, told Hina in an interview that he did not enter the presidential race unprepared and without ideas and that he knew what values he would promote, adding that if he had begun his campaign differently he would have been portrayed as "aggressive and violent".

"I also know what I will not be doing - much of what we have seen in the last five years. ... I think I know a lot about state affairs. I have a great experience as the leader of a large political party and prime minister, which is an advantage, but possibly a drawback, too. People will give their verdict, that's how it is, it can't be otherwise in politics," he said.

Milanović would not comment on the performance of the incumbent President Kolinda Grabar-Kitarović or say what he thought of the other contenders.

"I don't want to comment. I simply think and am confident that I will do this job better, with greater dignity and more worthy of Croatia," he said, adding that he would advocate Croatian interests "more convincingly, more energetically and with greater authority, and not opportunistically."

Asked how he saw the recent government reshuffle, he said: "This is another topic I would prefer not to comment on, because I think I will have to work and cooperate with these people. There's no stability there." He added that he would not use "dirty tricks" to undermine the government as had been done in 2015 in relations between the president and the opposition.

Milanović said that, if elected, he would not treat the government of Prime Minister Andrej Plenković "destructively and unconstitutionally" as the incumbent president had done, but that he wanted "a fair relationship, clear, transparent, direct and critical if necessary, but not opportunistic and cowardly."

Asked whose support he had for his presidential bid, he said he was backed by the SDP, the Pensioners' Party (HSU) and the Peasant Party (HSS). "But I cannot hope for a victory unless I am stronger than this. Above all, I am my own candidate and I will be what I have been all along - unquestionably independent, even rudely independent. ... I am in touch with the IDS (Istrian Democratic Assembly) and they will make their decision. I need their assistance because in Istria it is not irrelevant whether you are supported by the IDS or not."

Asked who would finance his campaign and how much money he intended to spend, Milanovic said: "Not much. We haven't planned it all yet, but we plan to spend as little as possible. I expect support from the SDP, but I believe other parties will also assist symbolically. But I am here to attract the hearts and minds of people. The President of the Republic cannot return a favour. What Croatia needs from the President is to be cunning, to look after national interests and show no sympathy for Serbian President Vučić and Hungary's Orban."

Asked if he was in favour of changing the powers of the President, Milanović said: "I am not one of those who want greater powers or who interpret the existing powers in their own way and misuse them. I will not behave like that. I will abide by the Constitution. The phrase that the President is the only one directly elected is music to the ears of megalomaniacs. It would be better if the President were elected by compromise because then that person would be more firmly on the ground and aware that they are not God-given."

More news about the presidential race can be found in the Politics section.

ZAGREB, July 17, 2019 - The Social Democratic Party (SDP) candidate for president, Zoran Milanović, on Tuesday said that he is not opposed to introducing the euro currency in Croatia, but the condition for that is continual talks which will lead to a decision on the fate of the country.

"Croatia in the euro area in five years' time, why not?" Milanović said in a video posted on his Facebook profile and underscored that that does not mean cheaper money because lower interest rates exist only in functioning countries.

He said that he was not for introducing the euro at a referendum and at meetings with the International Monetary Fund, which he called "the world's financial policeman", but "as a community of people who think and make decisions on their fate in the next ten, twenty, thirty years."

He assessed that introducing the euro means that Croatia will not have a national currency. "That means a currency on whose trends decisions are made by the people we don't elect. And I reiterate, why not? But not in this way," he said.

"Introducing the euro in Croatia does not mean cheaper money! We see that in a series of examples in Europe in which countries which are not in the euro area have the lowest interest rates. Interest rates do not depend on whether you are in the euro area but to what extent you are a functioning state, whether endemic thievery exists or order and the rule of law. That is why I advocate a modern Croatia, talks, not dictate," said Milanović.

More news about the presidential elections can be found in the Politics section.

ZAGREB, July 12, 2019 - Croatian President Kolinda Grabar-Kitarović on Thursday expressed concern over the fate of 900 workers at the Aluminij smelting plant in Mostar, Bosnia and Herzegovina, and due to the escalation of the problems at that strategically important company, she requested an opinion from the Croatian government.

Grabar-Kitarović assessed that the escalation of the situation is the result of years of ignoring obvious problems in the business operations of that strategically important company.

"I am worried about the workers' fate and livelihood and strongly support them in their demands for shedding light on all the facts that led to this situation. I would like to believe that Croatia as a co-owner of Aluminij has done everything in its power to protect national interests and the interests of the workers and I have asked the government to present its opinion as a matter of urgency," Grabar-Kitarović said in a press release.

Production at Aluminij stopped just after midnight on July 9 when its electricity supply was cut off over debts incurred. The company's management board then quickly announced that it would launch bankruptcy proceedings.

Aluminij is the largest company in Herzegovina with about 900 workers and a turnover of approximately 163 million euro. It was founded in 1981 and stopped operating during the 1992-1995 war. After the war it was reconstructed with the assistance of the Croatian government in 1997. Croatia owns a 12% share in the company, the government of the Federation of Bosnia and Herzegovina entity holds 44% of its shares and workers hold the remaining 44%.

More news about the campaign for upcoming presidential elections can be found in the Politics section.

ZAGREB, July 11, 2019 - Leader of the New Politics party Vlaho Orepić on Thursday officially announced his candidacy for the presidential election later in the year, claiming that Croatia needs new politics that will introduce order, establish stability and confidence in the institution of the president and other government institutions and enable citizens a dignified and safe life.

MP Orepić, who entered parliament with the MOST party slate and later left it to set up the New Politics party in late 2018, presented himself today with the statement that he was not an entertainer.

"I am not an entertainer, I'm not a singer nor party actor nor a reality show politician. I am a citizen, an athlete, soldier and above all, a Croatian defender from the very first day of the Homeland War. My candidacy is not backed by any party or business interests or structure...I believe that Croatia can and must be a better society," Orepić told a press conference.

He said that his agenda is the Croatian Constitution and not any party statute or business plan. "I aim to preserve a dignified and secure life for all Croatian citizens. My aim is order," Orepić said.

He said that parties that have been in power until now had without any shame exploited presidential candidacies for their own internal party showdowns or various consultant-lobbying and business projects.

Orepić was the interior minister at the start of the term of the current government and left that post when the MOST Party came at loggerheads with the ruling Croatian Democratic Union and departed from the ruling majority.

More news about presidential elections can be found in the Politics section.

ZAGREB, July 8, 2019 - The leader of the START party and former chair of the parliamentary Conflict of Interest Commission, Dalija Orešković, announced on Sunday she would run for president, saying that the institutions that should be combating corruption either have been sunk or are facing euthanasia.

"I made the decision at the height of corruption scandals that erupted in government. None of the candidates so far has offered acceptable solutions and responses to the social injustices created by corruption, which has seeped into all pores of government and society," Orešković said in an interview with the commercial Nova TV television channel.

She added that it seemed to her that at the moment all the institutions that should be combating corruption "either have been sunk or are on track to be euthanised, as is the case with the Conflict of Interest Commission."

"That's why I think it is very important for me to speak about the matters I am sure no other candidate will address as I do," Orešković said.

Although START failed to win a seat in the European Parliament in May's election, she said this was not a shortfall. "This was the first election at which a new political party was gaining political experience. One defeat cannot be a reason for discouragement, and everyone who is committed to their political persuasions and objectives must find the strength to fight for them."

Given that some members of her party had left, she said that START would undergo political reorganisation in parallel with the presidential campaign.

Commenting on the platform of the presidential candidate Miroslav Škoro, Oreskovic said that the concentration of power in the hands of one person may offer "quick and easy solutions" but means less democracy and less rule of law.

As for the Social Democratic Party's candidate, former prime minister Zoran Milanović, she said that although there were many positive things about him he was not a good presidential candidate. "First of all, he is a candidate of continuity and of maintaining the status quo in this society. It is precisely because of his previous political career that I think he will not be able to advocate progressive anti-corruption policies," Orešković said.

More news about presidential elections can be found in the Politics section.