Monday, 6 April 2020

Croatian Employers on Crisis: State Must Not be Late With Payments

As Poslovni Dnevnik writes on the 6th of April, 2020, a second package of economic measures to help the economy deal with the negative consequences of the coronavirus pandemic showed that the Government had accepted the pleas and requests of Croatian employers, who now have a clearer picture of how to plan their businesses, and their employees are now more confident that they will have their jobs preserved and their income guaranteed.

At this point, with the top priority being that the measures are properly adopted are effectively implemented, it is important for the Croatian Government to remain financially disciplined and to actually stick to strict payment timelines.

“A large number of businesses are working with the central and local government to ensure the smooth delivery of the necessary goods and services even in times of crisis. Wholesale drugstores, pharmacies and contracting healthcare entities are under special pressure due to the epidemic and huge efforts are being made to maintain not only business but also liquidity. Thus, financial discipline is extremely important because the very delay of the state could generate general illiquidity and, in the case of wholesalers, difficulty in the supply of medicine, which is crucial for the health system at the moment,'' said Davor Majetić, CEO of the Croatian Employers' Association (HUP)

Croatian employers will do everything they can to help preserve jobs while retaining the core of our businesses, so that after the crisis, we can launch an economic recovery more quickly and more efficiently.

We will also continue discussions with the government on further measures, first of all, on para-fiscal levies at both the national and local government levels. Non-tax duties and fees are a longstanding thorn in the side of our economy. Now, during the crisis, the payment of as many of these fees as possible should be frozen and an audit should be initiated immediately so that this part is finally and permanently abolished and the other part is significantly reduced,'' a statement from the Croatian Employers' Association said.

Make sure to follow our dedicated section for all you need to know about coronavirus in Croatia.

Wednesday, 1 April 2020

Croatian Government Measures Must Protect Blossoming Croatian IT Sector

As Vedran Marjanovic/Novac writes on the 1st of April, 2020, although not as directly threatened by the spread of coronavirus as the tourism, hospitality and trade sectors are, the Croatian IT sector is already slowly feeling the effects of the coronavirus impact on the economy, with widespread concern about how long the crisis will last and what its consequences will be.

''Due to the significant percentage of drop in orders and cancellations of already ordered jobs, there's a challenge with the workforce, and the number of cancelled projects is worrying because the inflow of new revenues can no longer be predicted and existing receivables are more difficult to pay off due to a kind of panic in the market,'' stated Ivan Ante Nikolic, a member of the executive board of the Association of Information and Communication Activities of the Croatian Employers' Association and the president of the board of Blink.

For understanding the position of the Croatian IT sector on the overall market, warned Nikolic, it is important that IT companies cooperate with different sectors of the economy, which has made and will continue to make them less exposed to disruption in certain parts of the economy.

''The impact on companies in the Croatian IT sector depends on the decline in activities in the sectors our clients work in. As expected, the biggest concern is with companies whose clients are in the tourism and hospitality, transportation, logistics, construction and other sectors which are more exposed to the effects of coronavirus,'' he noted.

On the other hand, companies in the Croatian IT sector which operate with banks, telecommunications or pharmaceutical companies, show less concern about the current situation, but, as Nikolic pointed out, everyone is fully aware of the uncertainty that the epidemic is bringing to their long-term business plans and the damage it might ultimately cause.

Commenting on the government's 63 measures to help the economy overcome the effects of the coronavirus, Nikolic proceeded to urge the Croatian Government not to forget about the Croatian IT sector, while it isn't exposed to the coronavirus crisis like other sectors are, the government must not forget to identify further ways of helping out businesses in the field.

''Emergency loans to preserve liquidity should be defended by all forces in these situations so as not to create side effects. We hope that these loans will not be much more generous than the HAMAG BICRO loan in the amount of 25 thousand euros,'' Nikolic said.

Companies in the Croatian IT sector assembled at the Croatian Employers' Association (HUP) to support a general request to exempt businesses from needing to pay income tax, contributions and surtax for a minimum of three months, as well as to abolish corporate tax advance payments and provide a moratorium on repayment loans and leases for twelve months.

They also want to hear the government's ideas for what will happen in the aftermath of the coronavirus pandemic. For them, as they pointed out, the direction is clear and requires an unprecedented investment boom that would launch investments and alleviate the negative effects in the wake of the coronavirus epidemic.

''Investments must and can be initiated through multiple courses of action. The government must establish a faster and more efficient system for EU funds so that the real sector can reach investment funds more quickly,'' Nikolic said, noting that private investment funds will also be needed to put the Croatian economy back on its feet after the coronavirus pandemic passes.

Make sure to follow our business page for more. For rolling information and updates in English on coronavirus in Croatia, follow our dedicated section.

Friday, 27 March 2020

Have Some Shops Raised Prices Despite Croatian Government Freeze?

We recently wrote about the Croatian Government's decision to freeze the prices of several sought-after products in the face of the coronavirus crisis, to make sure that the prices of those goods couldn't climb during the economic turmoil the virus' outbreak is causing to the domestic economy.

It seems, however, that despite the price freeze on products which can be found here, there is suspicion that some shops have still been hiking up the prices on those apparently ''frozen'' items.

As Poslovni Dnevnik writes on the 26th of March, 2020, the State Inspectorate has also received reports against employers for not adequately protecting their workers and keeping in line with the now very stringent measures put in place by the Croatian Government and the Civil Protection Headquarters.

Pursuant to the decision of the Croatian Government on extraordinary price control measures for certain products and the appropriate law which has now been introduced and officially came into force on March the 16th, 2020, inspectors from the State Inspectorate have been routinely performing inspections of entities engaged in the registered activity of production and trade.

According to N1, the State Inspectorate conducted 390 inspections of shops (commercial establishments) across the Republic of Croatia, and in 63 cases the facts were unfortunately established, and in 28 commercial entities there is a reasonable suspicion that a violation of the Croatian Government's price freeze on the products listed in the link provided above has occurred.

As mentioned, the State Inspectorate has also received concerning reports against employers for not properly protecting their workers against coronavirus. In regard to worker protection, 26 complaints have been received, 16 controls have been carried out so far, and four employers have been found not to have not been complying with the measures.

Make sure to follow our dedicated section for rolling information and updates in English on coronavirus in Croatia, as well as for lengthy articles by Croatian scientist and epidemiologist Igor Rudan.

Tuesday, 24 March 2020

Croatian Government Opens Donation Fund for Zagreb Earthquake, Coronavirus Patients

March 24, 2020 - The Croatian government has opened a donation fund to help those affected by the Zagreb earthquake and the coronavirus. The campaigns are titled “Together for Zagreb" and "Croatia against coronavirus”. 

Index.hr reports that the Prime Minister's Office said in a statement that Zagreb and its citizens were hit by the strongest earthquake in the last 140 years, measuring 5.5 on the Richter scale.

In order to enable the payment of donated funds through the state budget account for the purpose of earthquake rehabilitation, the decision to open a donation account in the "Together for Zagreb" action shall determine the account numbers to which the donations will be paid.

To donate to “Together with Zagreb”

Donations within Croatia are paid to the account: HR1210010051863000160, with reference to the approval number: HR68 5371 - and their OIB number. 

Donations from outside Croatia will go into the account of the Ministry of Finance with the Croatian National Bank, to the account number IBAN: HR12 1001 0051 8630 0016 0

“To donate to "Croatia against coronavirus”.

Donations within Croatia are paid into the account HR1210010051863000160, with reference to the approval number: HR68 5380 - and their OIB.

Donations from outside Croatia are paid into the account of the Ministry of Finance with the Croatian National Bank, to the account number: IBAN: HR12 1001 0051 8630 0016 0

In the Government press conference, Plenkovic said:

"The pandemic is changing the world. Functioning as we know it is changing. In just three months, the pandemic has arrived in 195 countries ... The number of cases is accelerating. We predict that the pandemic will take many lives ...

The scale will have unprecedented economic consequences for the whole world... We were convinced that the biggest crisis with us had passed. We had a crisis around Agrokor. Thanks to our measures, we have prevented the costs that had to go to the budget. Today, three years later, this is happening.

What we presented last week was the first crisis plan.

Our economy is slightly stronger than it was before this crisis.

We have reached the highest number since independence, returning our economy to a higher level since before 2008.

There is now a battle to maintain production and preserve jobs. We are aware of the situation in which our businessmen are in, all of them are in the sales channels, all of whom, through their hard work, contribute to our society functioning in increasingly difficult circumstances.

It is certain that this crisis will last longer than a few months and will affect all our activism.

We are witnessing asymmetrical shock.

We will go to cut all costs that are not necessary on the expenditure side. All of these measures have been prepared in a unique and holistic way, designed as a conceptual approach for this first initial phase.

We had a government phone call on the day we opened the accounts: one for Zagreb and the other for combating the coronavirus, so anyone can donate.

We will donate our salary for March to the Zagreb account."

Follow TCN's live updates on the coronavirus crisis and the Zagreb earthquake.

Friday, 20 March 2020

Croatian Entrepreneur Reactions to Government Coronavirus Measures

The lines of laid-off waiters, chefs and other hospitality workers in front of the Croatian Employment Bureau are concrete proof of the real market situation thanks to the increasingly concerning coronavirus outbreak.

Croatian entrepreneurs and company owners have looked at the recent set of coronavirus crisis measures, with some praise and others left unsatisfied and worried, comparing the measures to ''putting a plaster on a gunshot wound''.

As Poslovni Dnevnik writes on the 19th of March, 2020, despite the announced Croatian Government coronavirus measures, layoffs in the hospitality industry were set in motion, as evidenced by the rows of worried faces standing before the Croatian Employment Service in Zagreb yesterday, where dismissed chefs and waiters went to report.

Larger Croatian hotel companies haven't announced layoffs for their workers who hold permanent contracts so far, but they still won't be renewed for a fixed period. One such large company, Sunce, has stated that they will not fire anyone because they want to protect the health and economic security of their workers, aware that they will need everyone when they do open their hotels.

That particular company is awaiting Croatian Government measures and will adapt to the coronavirus-induced economic situation as it unfolds. Maistra is also busy with the employment of seasonal workers, and at the moment, the small Rovinj Adriatic Hotel and Zagreb's Westin remain open. Interestingly, a review of the hotel chains' social networks failed to find a single posted message about the closure of hotels in Zagreb.

The Croatian Tourism Association welcomed the government's response and the measures taken to maintain employment and liquidity. However, they warn that the measures must be properly specified as soon as possible and then be implemented immediately.

''This is crucial for tourism, given that it isn't realistic to expect any tourist traffic over the next thirty days. We consider a particularly important measure to be the securing of minimum wage funds without which tourism companies will be forced to make unwanted decisions,'' said the director of the association, Veljko Ostojic.

Key measures to defer liquidity are the deferrals of all obligations, they emphasised from HUTU, as they call on all levels of government, from local self-government units through to counties and the companies owned by them, to define such measures as soon as possible. They also expect the Croatian Government to make clear recommendations in this regard.

''Travel companies are actively doing everything possible to retain their employees and prepare for the normalisation of the situation as well as possible for the rest of the tourist year. We regard these measures as the first step to amortise the shock of the disruption of tourist traffic, but in order to stabilise business operations, it'll be necessary to define a second round of measures when the losses start to add up. In this part, we're ready to continue to actively participate in proposing and assisting the Croatian Government in defining the most effective measures,'' HUT said.

''This pandemic has raised global awareness of the importance of agriculture and the food industry. Today, with its own milk production, Croatia meets less than 50 percent of its market needs, so future measures, even in these times of crisis, will have to focus on revitalising the dairy and agri-food sectors in general,'' Dukat said.

Vindija pointed out that they are currently producing at full capacity and are doing so over three shifts.

''The demand for local food products has broken records for this part of the year, and it's our responsibility to ensure a smooth supply and keep the safety of all our workers, subcontractors, partners and customers safe.

The Vindija Group welcomes these measures, as it's crucial at this moment in time to ensure the liquidity of our companies and to maintain jobs, so that production and other economic activities can continue on a regular basis. It's a responsible and timely move that will support business stability and counteract the far-reaching effects of the pandemic crisis,'' Vindija commented.

The measures are also welcomed by the Pivac Group. However, they point out that, given the fact that the market situation is changing day by day, it isn't possible at this time to determine precisely to what extent they will contribute to the planned goals.

"We're in an extraordinary situation and it will take some time to show how it will affect the business in the long run. Once the true proportions of the pandemic are known, it's inevitable that the measures will need to be evaluated and revised and we're convinced that the Croatian Government will take the appropriate steps,'' they said.

Gavrilovic is focused on maintaining its production. "We urge the government, when adopting these measures, to take into account the specificities of particular groups of businesses and to consider additional measures such as maintaining the smooth flow of goods across the European Union so that the food industries can maintain a high level of food product productivity," they say.

They added that during the coronavirus pandemic, exports of strategic food raw materials outside the EU should be restricted in order to maintain stable input prices and protect the food industry within the EU itself. They also say that direct assistance should be provided through co-financing part of the wage bill through taxes and contributions for activities that are directly affected by coronavirus.

From PIK Vrbovec, they also believe that the Croatian Government is doing everything it can to protect the economy.

''We're in constant communication with government representatives and we're doing everything we can to make sure our production and supply chain remains fully operational. PIK meets 40 percent of the Croatian market's needs for red meat and meat products in Croatia, and at times like this, it's extremely important to ensure smooth production and distribution, for which we have the full support of the government. All security measures, which PIK Vrbovec approaches in this situation in a responsible and proactive manner, are continuously checked and aligned with the latest recommendations of the authorised bodies,'' they say.

Woodworkers and the furniture industry have been among the first to feel the slowdown and the onset of the coronavirus crisis, so they were the first to contact the government for help. The package for these producers also included a few of those aimed specifically at them, such as delaying timber payments to the company Croatian forests (Hrvatske sume).

For many, however, it is too early to make estimates until the announced measures, or regulations and ordinances, have been properly developed and published. It is unknown, for example, whether certain measures related to liquidity credits or wages will be able to be used by companies that have already had their accounts blocked, and many smaller producers unfortunately are in this predicament, especially in the processing and production of pellets.

"I hope this is only the first, ''firefighting'' measure and that a more serious package will follow in thirty days, as this crisis will take longer to resolve and the consequences need to be treated so as to ensure not only relief, but also the preservation and the future of this business. From this point of view, the measures that have been adopted are like putting a plaster on a gunshot wound,'' said Bjelina's director, Stjepan Vojinic. Repayments and payment delays, he believes, will not save businesses in the long run.

The Pozgaj Group, an exporter that employs 500 people says that its chairman of the board, Nikola Pozgaj, has submitted to the Ministry of Agriculture a proposal on how to implement the government's measure on extended payment currencies with Croatian forests. It states that it is necessary for this measure to be applied retroactively to all invoices issued as of February the 1st, 2020, as we're entering the choppiest waters of the crisis when invoices will be due in April and May, and their maturity has been delayed by this coronavirus measure.

''We're appealing to Croatian forests to not unilaterally adopt any measures that would conflict with the measures of the government,'' stated Pozgaj.

Boris Vukusic, president of the Association of Small and Medium-Sized Shipbuilding at the Croatian Chamber of Commerce (HGK), welcomes the coronavirus measures, but points out that the sector is particularly affected by the fact that it procures 90 percent of its raw material from imports, and the temporary shutdown of operations calls into question deadlines for the completion of construction, while nautical fair cancellations are also happening, resulting in the absence of new contracts.

''All this, and with the help of the measures, will certainly help many shipbuilders in an uncertain situation,'' stated Vukusic.

''It's high time for the state to decide to switch to paying VAT on the realisation of the payment of bills and not upon actually issuing them, which is, even without a crisis, an absurd situation into which Croatian businessmen are put," Vukusic pointed out.

Large construction sites are currently functioning and all players in the construction sector are hoping for it to simply stay that way. If investment cycles continue, then Croatian construction companies won't question the same or a similar level of planned revenues. This would mean that the new government measures aren't entirely crucial for them, but the whole sector is still worried about the question of whether or not construction sites will need to be closed, or whether or not it will be possible to organise work on construction sites depending on the conditions of future quarantines.

"When we investigated the situation in Italy last week, it wasn't clear whether or not they were closing construction sites at the same time as when shopping centres and hospitality facilities ceased to operate. Formally, it appears that construction sites weren't listed anywhere in Italy for closure, but honestly, they appear to have made some reallocation of jobs in favour of locations that aren't being put under strong measures,'' says a source who didn't want to be named.

''We're working normally,'' claims the CEO of the Krizevci-based construction company Radnik, Mirko Habijanec, president of the HUP Construction Association.

He stated that the same is the case with other construction companies, and he considers the Croatian Government's coronavirus measures to be commendable because they will help a lot in mitigating the evident damage that occurs in other industries due to disruption of work processes. However, Habijanec doesn't agree with the growing number of appeals for the introduction of a measure for the write-off of overdue payments to the state, for example, write-offs of contributions for pension and health insurance for employees whose employers are practically earning only 20 percent of their planned income.

"The write-offs don't lead us anywhere, but there's justification for introducing partial subsidies for direct damage incurred - for example, if the workers were stuck at home and couldn't fulfill their obligations, in which case employers should be compensated for a certain amount," said Habijanec.

He added that Radnik procured some of its strategic materials by paying for part of its deliveries in advance, which maintained continuity and prevented a deadlock.

"However, the possible problems for the builders in the upcoming period due to the supply of materials can't be ruled out, as they come mainly from imports. The coronavirus crisis has shown how much we depend on the external market, so the best government measures would be those that have yet to be brought in to strengthen and even revive those industries we once had, an example being the steelworks,'' he noted.

Gordana Vrdoljak, a member of the board of directors of the large Slavonian transport and logistics company, Ricardo from Darda, said that the company welcomed the government's coronavirus crisis measures and thought that they would alleviate this crisis and help to secure current liquidity and maintain jobs. Accordingly, the Ricardo administration has prepared a plan to secure funds for the payment of salaries for the next three months.

Croatia's largest shipping company, Jadrolinija, pointed out that given the uncertain economic situation caused by the coronavirus epidemic, any assistance and support from the state to the economy is certainly welcome.

"At the moment, we can't predict to what extent the drop in revenue from passenger and vehicle traffic could be, given the unknown duration of this situation. We believe and hope that the conscientious behaviour of all of us, this epidemic will be over as soon as possible and we'll continue with our successful business," said Jadrolinija Rijeka.

Croatia Airlines has been taking all preventative measures since the onset of the coronavirus crisis to ensure the basic functioning of its business processes in these worrying circumstances, including adjustments in restricted movement and assembly conditions, the national airline said.

''On January the 23rd, the crisis management readiness level was raised, and on March the 10th, the crisis headquarters of the company was activated. Since March the 10th, a total of 410 flights have flown and nearly 19,000 passengers have been transported.

So, with these extraordinary circumstances, the company strives to carry out its planned business activities as much as possible, in accordance with the current circumstances, while sharing the fate of the entire aviation industry, which suffers daily damage caused by the negative effects of the global coronavirus pandemic,'' they say from CA, adding that as Croatia's national air carrier, which strongly supports Croatian tourism and the entire Croatian economy, it supports all previous measures adopted by the government, as well as any possible future measures to assist the Croatian economy in order to overcome the damage caused by the coronavirus pandemic.

Croatian motorways (Hrvatske ceste) is ultimately a public company and its primary public interest is more than profit. They have also become involved in helping their customers. Thus, HAC, as part of its assistance to the economy, will implement a number of its own measures, which are also part of the overall measures introduced by the Croatian Government.

The temporary suspensions of concurrent services on Croatian motorways and fees for extraordinary transport licenses shall be suspended until the 1st of June, 2020, which is particularly important because of convoys currently operating international goods transport across the country.

In addition to this, HAC also issued a temporary measure on March the 13th, 2020 for users who don't have an ENC device and made available 3000 devices at a discount of 40 percent, at a price of 73 kuna instead of the previous 122 kuna.

This article was originally written by Marija Brnic, Darko Bicak, Marija Crnjak, Suzana Varosanec and Marta Duic

Make sure to follow our dedicated section for more on coronavirus in Croatia.

Friday, 20 March 2020

Need Croatian Government Aid in Coronavirus Era? The Criteria...

It is estimated that the Croatian Government will need to spend a massive five billion kuna to keep the proverbial ship afloat as coronavirus gives the domestic economy a beating.

As Poslovni Dnevnik writes on the 19th of March, 2020, businesses and companies that want or need Croatian Government assistance of 3,250 kuna per employee will have to meet a number of criteria and will only receive their first payments in April.

The Ministry of Labour has adopted the criteria and requests will be submitted from Monday onwards, with payments being made by April the 15th, 2020, at the absolute latest. As noted above, it is estimated that the state will need to spend as much as 5 billion kuna. 24sata exclusively learned about the criteria will need to be met in order to receive this particular payment from the state.

For employers who are in trouble owing to the outbreak, especially those who have had to close down their businesses and companies, this may be a long and arduous waiting game. It's worth recalling the fact that the catering and hospitality industry is completely locked down except for those who supply food via delivery. Gyms, hairdressers and all other service activities other than those which deal with the sale of the basic necessities of life, such as food, medicine and hygiene, are all closed.

Everyone who has had their company ''imprisoned'' by the decision of the Civil Protection Staff is entitled to financial support from the Croatian Government.

Those who receive support will have to keep hold of the employee for whom they're applying for at least a month longer. Therefore, if a company has received support of 3250 kuna for a worker for a maximum of three months, they must not fire that employee for six months. If a company dismisses a worker during this period, then they should return the grant immediately.

A Croatian employer should pay the rest of the worker's salary for the entire time, too. For example, if a worker has a net salary of 6500 kuna, the employer should provide another 3250 kuna of Croatian Government assistance for which they have applied on top of that sum. Contributions and the various taxes on this wage will not have to be paid by the employer for up to three months, but they will be re-introduced later on and the state doesn't want to write off the need for those payments even though Croatian employers have requested it in significant numbers.

When it comes to those who are not ''detained'' by coronavirus and the state's lockdown decisions, in order to receive assistance, employers will have to prove a fall in their activity due to the pandemic in their application.

One of the conditions for Croatian Government financial support is that their business activity has dropped by 20 percent over the last year, which will require concrete proof and a statement. Difficulties which will be recognised for assistance include a decline in turnover, the cancellation of reservations and events, the cancellation of business contracts and orders, the inability to deliver completed goods and products or raw materials, and inability to order new raw materials and such for the continuation of work.

The employer will also need to indicate the activities he has undertaken in order to preserve employee jobs.

But that's not all. Of course. There is also an employment criterion that needs to be readily met.

Employers who have experienced employee decline from the beginning of March to March the 20th, 2020, are also eligible for support. Furthermore, the criteria is narrowed down by company size. The support will not be given to micro-employers of up to ten workers, if more than 40 percent of those workers have been laid off by March the 20th.

A small company may not lay off more than 20 percent of its workers until March the 20th, a mid-size company may not lay of more than 15 percent of its workers, and a large company must not lat off more than 10 percent of its workers. This doesn't include the normal expiry of contracts, a worker entering into legal retirement or if a worker has been fired for their behaviour.

All this also applies to full-time workers. If they are part-time employees, the criteria for the Croatian Government grants remain the exact same.

Make sure to follow our dedicated business section for more on Croatian companies. Stay up to date with our dedicated section for rolling information in English on coronavirus in Croatia.

Monday, 16 March 2020

Croatian Government to Pay Companies to Keep Hold of Staff

As we reported recently, the Croatian Government has put together a new package of measures worth several billion kuna which should be finalised today. Companies will be able to defer the payment of loan installments, but such a move is not yet planned for regular residents. Croatian companies will also receive money to purchase the materials they need.

As Poslovni Dnevnik writes on the 16th of March, 2020, the Croatian Government is currently busy finalising an extremely expensive package of measures to help businesses cope with the economic issues caused by the current coronavirus outbreak, as Ivan Pandzic writes for 24sata.

Ministers will meet today and go over the measures, and then the Croatian Government will take them before MPs and entrepreneurs.

The 24sata publication was able to find out several things on the list of measures which are likely to have far reaching effects. Among them is the fact that working capital will be financed so that entrepreneurs and companies can get access to the money they require in order to procure production materials if they've been experiencing late payments from suppliers and have seen a fall in their revenue owing to the coronavirus outbreak. These measures will go through HBOR, HAMAG and will also involve commercial banks at the Croatian National Bank (CNB/HNB). Commercial banks habe stated they they are ready to participate in this assistance package.

What has been confirmed by the Croatian Government's interlocutors will certainly be used by the European Social Fund to finance company owners who cannot pay their staff, that is, they will get some kind of incentive not to lay off every worker. The European Commission (EC) is also set to provide 37 billion euros to member states.

The question is now just what the criteria for granting this assistance will be, and how much red tape will business owners have to go through in order to get help. One can only hope that in this time of coronavirus crisis, Croatia will finally cut its masochistic love of draconian bureaucracy.

''The details are yet to be agreed upon, but what's certain is that there will be clear criteria to prove that a business has been affected by coronavirus. The bureaucracy will be minimised so that the money can reach those who need it as soon as possible,'' 24sata wrote.

Make sure to follow our dedicated section for more on coronavirus in Croatia.

Sunday, 15 March 2020

Croatian Government Introducing Price Controls for Certain Items

As Poslovni Dnevnik writes on the 15th of March, 2020, the Croatian Government will introduce ''price control measures'' for certain items. They claim that the objective of this decision is to prevent the negative effects of changes in individual product prices in the circumstances of the current coronavirus epidemic.

On Saturday evening, the Croatian Government, during a telephone session, adopted a decision on exceptional price control measures for certain products, including basic foodstuffs, hygiene products, protective clothing, medical supplies, linen and similar items.

The list includes flour, milk, powdered milk, eggs, sugar, salt, rice, pasta, fresh meat, fish, fruits and vegetables, canned food, edible oil, baby food, nappies for babies, drinking water, laundry detergent, dishwasher detergent, and of course - soap.

The measures also apply to disinfectants for water, areas and hands which include concentrated alcohol, protective overalls and other protective and medical clothing and footwear, goggles and visors, protective gloves, shoe covers, protective masks - surgical, FFP2, FFP3, respirators/transport ventilators, medicines and medical products, and bedding and other underwear indended to go to the health system, according to a statement.

The objective of this Croatian Government decision is, as previously mentioned, to prevent the negative effects of changes in individual product prices as coronavirus continues to give not only public health but the domestic and global economy a beating.

Now that this decision has been made, the highest price is considered to be the price that the products were being sold at on January the 30th, 2020, when the World Health Organisation (WHO) first declared the infectious disease COVID-19 to be a public health threat of international importance, the statement said.

Make sure to follow our dedicated politics page for more on the Croatian political scene, and TCN's dedicated section for rolling information and everything you need to know about the current coronvirus epidemic and its effects on Croatia.

Saturday, 14 March 2020

Croatian Government Revealing Package of New Measures Next Week

As Poslovni Dnevnik writes on the 14th of March, 2020, Prime Minister Andrej Plenkovic recently held a Croatian Government meeting on the activities being undertaken to combat the current coronavirus epidemic in Croatia.

"In principle, I think there's satisfaction with the way Croatia is trying to solve these problems," Plenkovic said after the meeting, N1 reports.

He added that the opposition's proposals and comments were largely in the wake of what the Croatian Government was already doing.

''Each of the ministers talks to the groups for which he is responsible, from trade, transport, tourism. Next week, we will come out with a package of measures, and some of them will require legal changes, which will be put into an urgent procedure,'' Plenkovic said, adding that he had a number of measures and would later announce when they would come into force.

"The departments are working all weekend, and will work on Monday. We want the Croatian Government to take concrete measures,'' Plenkovic said.

Journalists asked the Prime Minister how concerned he was about the economic situation the country is now facing owing to the coronavirus outbreak.

"Croatia is facing this crisis in a situation of consolidated public finances. It comes at a time when you have a government that can responsibly manage public finances, we have a balanced budget. We'll take measures to reduce the effects of this crisis,'' Plenkovic said.

"This is a situation that requires serious measures at a personal level and at the level of measures we're taking as a government," he added.

Asked if schools was closed due to public pressure, Plenkovic said that pressure wasn't the reason for the Croatian Government decision on school closures, but that in the case of Istria, where many people go over to work in nearby Italy, safety steps needed to be taken.

Make sure to follow our dedicated section for rolling information on coronavirus in Croatia.

Sunday, 26 January 2020

Late Night Government Meeting - Could Health Minister Kujundzic Resign?

Health Minister Kujundzic hasn't had the best time of it of late. His alleged dodgy dealings, incorrectly declared properties and magic houses and apartments and even land popping up from the island of Pag to his hometown of Ivanbegovina (near Imotski) have all surfaced in the media.

We recently wrote an article which posed the question of just what it would take, or indeed how much would need to be found out, before a Croatian politician would actually do the honourable thing and step down when caught with their fingers ''in the till'' as it were. Could Milan Kujundzic actually end up resigning? Or will it be the usual saga of removing him when the government is backed into too much of a tight corner?

As Poslovni Dnevnik writes on the 26th of January, 2020, a government source confirmed to N1 that a late night meeting was held with Health Minister Kujundzic on Saturday night.

That same government source for N1 added that the decisions that follow in this case should show accountability and take into account the stability of the Croatian Government and HDZ.

Other sources from HDZ, however, claim that enfeebled Health Minister Kujundzic could step down as early as Monday.

"I perceive this in one way as a lynch atmosphere, but when it comes to politics, one should be prepared for such things as well.

I commend all of you journalists who will investigate me, and I invite all government bodies to investigate me on all grounds. I encourage you and others to investigate not only those who are public figures, but also many others about wages, what they had, what they got under communism, about privatisation, how much taxes, surtaxes and other kinds of contributions they paid. Do everything you need to do to me down to the last detail, and then do it to everyone else,'' Health Minister Kujundzic said on Friday at an extraordinary press conference regarding the attack of a journalist carried out by his own relative in front of his incorrectly declared house in Ivanbegovina.

Health Minister Kujundzic also held a meeting with Prime Minister Andrej Plenkovic, and the chance of his resignation, as he said at the time, didn't even come into it.

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