As Poslovni Dnevnik writes on the 31st of December, 2018, Finance Minister Zdravko Marić presented the Croatian Government's new ''demographic measure'' on Sunday for Dnevnik HTV, by which the non-taxable amount of so-called ''newborn allowance'' has been raised to a very handsome 10,000 kuna.

"An employee who has a baby'' said Marić, "her employer has the ability and the right to give her money for the newborn baby. The non-taxable amount is 3,362 kuna, but this amount has been raised three times higher and amounts to 10,000 kuna,'' announced the finance minister during an interview with HTV.

The order by the Croatian Government which regards this measure will be published on Wednesday, January the 2nd, 2019, and will come into force as of Thursday, January the 3rd, but it is already technically applicable today, added the minister.

Looking back, this has been the year in which Marić, who has been serving in the Croatian Government for a while now, stated that he was satisfied with continuing the trend of Croatia's declining public debt, which fell by 10 percentage points in just three years. It is expected that this year,  interest rates will fall below 9 billion kuna.

"Since 2015, we've cut interest rates by more than a quarter, we're paying lower interest rates, and I'm particularly pleased with what we've done for the highways and for the roads," said Minister Marić, emphasising that they continue to remain in "Croatian hands".

Recalling the alarming debts which still very much haunt Croatia's healthcare system, he said that redistributing money to the Ministry of Health can't be a viable solution to that problem.

"I'm happy that we've been able to reduce payment deadlines, especially the state ones, for a year. I'd like to see if these reduced payment periods reflected on the reduced cost of purchasing medication," Marić said.

He emphasised the need for the Croatian Government to apply a combination of measures on the revenue and expenditure side of the health budget.

"We have contributed through the third round of tax breaks, we've raised the budget for healthcare by 1 percentage point, around 1.350 billion kuna, but that won't be enough," he said, concluding that the Croatian healthcare system must be financially sustainable.

Make sure to follow our dedicated politics page for much more.

An announcement from one well-frequented store, SPAR Croatia, will likely bring a smile to the faces of many, as prices are set to be slashed next month.

The Christmas spirit might be warm and fuzzy in stark contrast to the cold winter weather, but the consequences of eating, drinking and being merry (along with the need to buy more and more expensive presents), often leave our wallets feeling much thinner even if we've definitely grown, and I don't mean upwards.

Thankfully, January is a quiet, although boring month. Not much happens and for very many, it is the month of trying to earn back at least a portion of what was spent when under the soft yet somewhat deceptive blanket of December's glittery Christmas cheer. 

As Poslovni Dnevnik writes on the 27th of December, 2018, SPAR Croatia has issued a very welcome announcement which guarantees that as of the 1st of January, 2019, the prices of more than 1,500 products that can be found on the popular shop's shelves will be reduced by more than 9.6 percent.

SPAR Croatia will lower its product prices according to the Croatian Government's decision to reduce VAT on fresh meat, fish, fruit, vegetables, eggs, and baby diapers from 25 percent to 13 percent.

"We welcome the efforts of the Croatian Government, which, by deciding on tax relief, will further assist Croatian citizens as well as the Croatian economy. With our price reductions, SPAR Croatia supports this move by bringing the price of what is in the shopping baskets of citizens down,'' stated Helmut Fenzl, CEO of SPAR Croatia.

Make sure to stay up to date with our news page for everything you need to know about what's going on up and down the country, from cultural events to live performances, down to tax cuts, business ventures and the latest political scandal.

A couple of new names for both strategic and foreign and European policy for Croatian politics as the President of the Republic of Croatia, Kolinda Grabar-Kitarović, has appointed Mirjana Hrga and Sebastian Rogač as her advisors.

As Poslovni Dnevnik writes on the 21st of December, 2018, the Croatian President dismissed Dario Mihelin as her advisor for external and European politics, a decision which will come into effect as of January the 15th, 2019.

Similarly, Kolinda Grabar-Kitarović dismissed Mato Radeljić from his post of advisor for internal affairs on the 21st of December 2018.

The President of the Republic of Croatia has since appointed Mirjana Hrga as her advisor for strategic policies, relations with the Croatian Parliament and the Government of the Republic of Croatia, as well as Sebastian Rogač as her advisor for foreign and European policy. Both decisions will come into effect as of January the 16th, 2019.

Make sure to stay up to date with our dedicated politics page for everything you need to know about the Croatian political scene.

Amid rumours that the finance minister, Zdravko Marić, is set to step down from his position within the Croatian Government as soon as next month, PM Andrej Plenković has been having his refusal to outright deny the claims scrutinised, with some believing that this means Marić's departure was imminent and due to take place in early 2019. It seems however, that Marić isn't going anywhere.

As Poslovni Dnevnik writes on the 9th of December, 2018, HDZ President and PM Andrej Plenković said on Saturday that Finance Minister Zdravko Maric isn't going to leave the government.

"There will be no departure," Plenković told journalists after the he was questioned about whether or not he'd talked to Marić himself about his alleged departure from the cabinet before the end of his mandate, as was being circulated by some media outlets.

The Prime Minister, upon being questioned about the criticisms of controversial SDSS President Milorad Pupovac regarding recent arrests in Vukovar, said that he didn't listen to that press conference, adding that the current government is not interfering with the work of the police or with the work of DORH in any manner whatsoever.

He pointed out, in order to quell people's natural suspicions that "there are no invisible political hands" holding any influence over this process.

When asked about the elections for the European Parliament, PM Andrej Plenković stated that the party would be "almost sure" on their own and that at least five mandates can be expected. "We'll win convincingly in those elections," he said briefly.

Concerning the controversy around the procurement of Israeli F-16 aircraft, Plenković reiterated that everything that the Republic of Croatia did in this process was done systematically, thoroughly, and in fine detail, and that open issues, if there are any, exist solely between Israel and the United States of America, and are nothing to do with Croatia or the part Croatia played in the process.

He confirmed that he visited Zagreb's mayor Milan Bandić was taken to hospital yesterday morning, adding that Bandić claims to be feeling good and that he believes that he will recover and be back on his feet quickly.

Make sure to follow our dedicated politics page for more on PM Andrej Plenković, the Croatian Government, and updates from both domestic and European politics in Croatia.

Neither Prime Minister Plenković nor Zdravko Marić himself have come out and actually denied the rumours about the Croatian finance minister's potential departure from the government.

As Poslovni Dnevnik writes on the 8th of December, 2018, although no one has officially confirmed this, some claim that a quick analysis of the statements made by both Prime Minister Plenković and Zdravko Marić himself suggest that it is apparently ''almost certain'' that the longtime Croatian finance minister is set to leave his government position.

This information has begun circulating at a very inconvenient time and amid quite a bit of controversy, given the fact that Zdravko Marić's older sister has been promoted in HANFA, which is ironically the organisation investigating the finance minister for his activities during the height of Agrokor saga, which still isn't over. Good timing you say? You're right.

To quickly recall, this isn't the first time the Croatian finance minister has fallen out of favour in such a public manner. Marić used to work at Agrokor before taking on his government position, and as more and more came to light in regard to Agrokor's messy story, many began to suspect that he knew much more than he was letting on about the crimes which allegedly took place under the gigantic company's former owner, Ivica Todorić.

Despite having held strong to his statement of innocence and managing to survive this political test, ultimately retaining his position, the cloud of suspicion surrounding him never truly went away, it only engulfed Martina Dalić instead, the fomer deputy PM, who became a welcome distraction for the minister tormented by his past.

Regardless of the passage of time and the stepping down of Martina Dalić, the curse of the former Agrokor crisis has come knocking at Croatian finance minister's door once again, and this time it looks like he won't be getting off quite as lightly.

Upon being asked, Prime Minister Plenković's response has been scrutinised deeply, and for some it could be concluded that the Croatian finance minister's time is up, purely and simply because the he did not deny it when asked, writes Večernji list.

Similarly, Marić didn't deny it himself, either. The question now is not only who would potentially replace Marić in the government, but whether or not this could potentially be a chance for the reconstruction of the current government.

While unconfirmed, speculation suggests that Marić's departure from the government will take place next month, which would in itself be logical because he has already compiled a budget for next year.

The exact name of the person who either may or definitely replace Marić is still unknown, primarily because this information remains officially unconfirmed. But those speculating have suggested that it could be Tomislav Ćorić, the curent minister of energy and environmental protection, but sources close to the government claim that if he is doing his job well and that such a move would make no real sense. It would also be his third new ministry if it were to occur. So, it seems difficult to imagine Corić taking over Marić's job.

The speculation of potential names continues, despite the fact that the rumours of the current Croatian finance minister leaving his position early next year remain unconfirmed. 

Make sure to stay up to date on this situation and much more on the domestic and European political stage by following our dedicated politics page.

As 24sata writes on the 5th of December, 2018, Ivica Todorić, who was recently released from Remetinec prison following his eyebrow-raising payment of a million euros in bail, which he said was paid by friends, has decided to become politically active. On Wednesday, the 5th of December, 2018, he announced his political engagement once again and used the opportunity to criticise Prime Minister Andrej Plenković and the Croatian Government, according to a report from N1.

We've translated his statement in full below:

''Dear all,

Today, following two years of Andrej Plenković's government, the Republic of Croatia is socially and economically completely destroyed, devastated, we have chaos and a dictatorship, we're seeing the destruction of institutions every day, we're the worst member of the EU, we're last on the list by all indicators, we're at the very bottom!

Today, the Republic of Croatia isn't a country of knowledge, it isn't a country [which respects] the rule of law, it isn't a country which cares about its demographic status, the economic position of its citizens, or the state itself.

At the same time, two years have passed since the launch of the plundering of Agrokor, a monstrous criminal project unseen in history in this part of the EU.

That is precisely the best example of corrupt antinational power, which has plagued the future of the citizens of the Republic of Croatia and has thrown the state on its knees.

I fought alone, and I'm still fighting [armed] with the truth and the facts about the crimes which were carried out over my company, my associates, and over me.

Throughout my life I've been giving to my homeland to Croatia, through the Agrokor project, building a modern, competitive industry that eventually became the largest in this part of the EU.

But now I look upon this dictatorship of Prime Minister Plenković, who pitilessly continues to inflict tremendous damage upon the Republic of Croatia, and who is destroying our homeland and its future.

Exactly because of the desire to change this catastrophic position of the Republic of Croatia, I decided to become politically active!

We in the Republic of Croatia need to gather all the potential of every individual to make the best use of our national wealth - forests, water, land, and our sea, in order to realise our national interests in the most functional way.

The Republic of Croatia must get started and become a country of knowledge that respects the rule of law. Severe, serious reforms and investment cycles need to be initiated literally overnight as [otherwise] it will be too late. Croatia needs to be transformed into the construction site for the future of our children and all citizens.

I'm sure that we will eradicate this corrupt, incompetent, dictatorial authority - to ensure a better future for our homeland of Croatia and for our children.

With respect,

Ivica Todorić''

Make sure to follow our dedicated politics page to stay up to date with the Croatian political scene and all of the former Agrokor boss' political moves.

The Summit of the Central European Initiative (SEI), which brought together the heads of state of six countries in Zagreb, saw the Hungarian Prime Minister, Viktor Orban, arrive in Croatia. Despite talks between the two leaders, the INA-MOL situation remains without real direction.

As Jadranka Dozan/Poslovni Dnevnik writes on the 3rd of December, 2018, this opportunity, as was well understood by the involved parties, was also used for bilateral talks between the Hungarian PM and Croatian Prime Minister Andrej Plenković. After the meeting, there were more or less protocol words and a few statements decorated with positive intonations released. The talk, according to Plenković, showed the desire of both countries to continue to develop economic cooperation as well as the good will to overcome existing problems primarily regarding INA and MOL, so as to solve and not further endanger the development of relations in all other areas.

Orban isn't quite as diplomatic as the ever-polished Plenković in his view, and in his opinion it isn't normal that two neighbouring states which look to each other as allies have allowed six or seven years to pass since the last official visits between their respective prime ministers.

"During the last few months, we've conducted numerous negotiations, and today I came to bring our relations back," Orban said, recalling that cooperation with Croatia began back in the 1990s with an advocate in the Hungarian parliament, and underlining the fact that he was a friend of President Franjo Tudjman. This will result in a new dialogue between the two neighbouring governments, it's too early to talk in any real detail, but talks on the energy sector are expected, as well as those over the ongoing INA-MOL situation and the question of Hungary's interest in the LNG terminal project on the island of Krk. Despite the aforementioned, the talks between the two prime ministers certainly weren't focused purely on neighbourly relations in terms of business and energy strategies.

Justice had its part to play in the talks. On the one hand, there is the arbitration dispute at the International Settlement of Dispute Settlements in Washington, and other disputes over the request of the Croatian judiciary for the extradition of Zsolt Hernadí of Hungary's MOL.

From the aspect of energy strategy and business, especially in light of the declarative plan of the Croatian Government on the purchase of MOL's stake in INA, the appearance of Minister Tomislav Ćorić on Sunday was very indicative.

The day before talks with the Hungarian side over the INA-MOL situation were due, Minister Ćorić confirmed that the Croatian Government had not yet signed a contract with the investment advisory consortium for the INA project, which was chosen back in April, after a multi-month process which was characterised by several so-called "extensions".

According to the minister, a contract with a consortium in which Morgan Stanley, Intesa Group and PBZ are involved has not yet been signed owing to the fact that when conversation with them following the initial selection, "points around which there was no complete understanding" arose. Despite this, Minister Ćorić claims that "they're currently being resolved". This raised numerous questions from the side of experts and left them wondering what the situation would be like if international consultants hadn't stepped in.

Meanwhile, there were more meetings between representatives of the Croatian Government and Hungarians, and one can quite easily conclude that these talks were without any real specific focus. Most of the bigger problems appear to lie with the sheer lack of clear views on what strategic goals need to be achieved and in which development segments the Croatian Government intends to place the most emphasis.

As with most things in Croatia, the path to solving the INA-MOL situation is littered with obstacles and appears to be very far from a solution, regardless of the apparent good will on both the Croatian and the Hungarian side.

Make sure to keep up with our business, politics and news pages for more.

Click here for the original article by Jadranka Dozan for Poslovni Dnevnik

Dalija Orešković has been making some rather bold statements of late, first in regard to HDZ and Prime Minister Andrej Plenković, and now towards Croatian President Kolinda Grabar-Kitarović.

As Poslovni Dnevnik writes on the 3rd of November, 2018, her blunt and to the point comments towards the Croatian president have continued.

"The very fact that she tries to suit the feelings and the sentiments of the population clearly shows where her empathy lies, it's often populist when it comes to showing a warm face. It's a warm face, it's just a mask," stated Dalija Orešković rather bluntly.

Orešković was a guest of N1 television where she talked about her political plans, as well as about President Kolinda Grabar-Kitarović, towards whom she was extremely critical once again.

She first commented on her decision to not go to Marrakech, Morocco, where the measures for legal migration are being adopted.

"I'm not that captured [by it], for me, this is yet another example of the uncovering of the faces of the president,'' sye stated.

She also commented on Kolinda's attack on the Croatian Government, referring to an interview with President Grabar-Kitarović in which criticised the government for the lack of reforms.

She placed emphasis on the fact that the president, though lacking the power, does have moral authority.

"The president has the strongest voice in the country and that can create a certain atmosphere. The atmosphere created by Kolinda Grabar-Kitarović in recent years is colouring the country in black," Orešković openly said.

Orešković attributes the fact that Grabar-Kitarović continues to do so well in the polls to very well-designed political marketing.

"Smile, share some pictures, get some good marketing which brings you closer to the everyday lives and the feelings of citizens, behind that lies no serious work, or what a president should be doing" concluded Orešković in a rather cutting statement.

Make sure to keep up to date with our politics page for more information on the Croatian political scene, both at the national and at the European level.

In case you didn't know, Martina Dalic, the former deputy prime minister who spent a long time at Andrej Plenkovic's side, left her position earlier this year amid not only the Hotmail affair, in which she was sending highly sensitive emails via no less than Hotmail, but amid growing suspicion surrounding her in regard to the very messy Agrokor affair.

Now, despite the public's general opinion of her being less than sparkling and with all sorts of unsavoury suspicions and accusations about her involvement in Agrokor still flying around, left unanswered, Martina Dalic went ahead and published a book on Agrokor, causing raised eyebrows among many politicians, including MOST's leader Bozo Petrov, who was heavily involved in the Agrokor situation when it first came to light, especially given the fact that the crisis saw the former HDZ-MOST coalition collapse.

As Poslovni Dnevnik/Tomislav Pili writes on the 30th of October, 2018, Finance Minister Zdravko Maric, who felt the very personal unpleasantness of the Agrokor crisis on his own skin, stated quite bluntly that he didn't have any desire to comment on whether or not Martina Dalic should return to the government at all.

Marić used to work for Agrokor before taking up his position within the Croatian Government, this caused a lot of suspicion around him, too, as many across the political spectrum and in the general public failed to believe that he had no knowledge of the plethora of underhand deals and the threatening collapse of the company that eventually raised its ugly head in the spring of 2017. Despite the controversy, Maric stuck to his guns and held onto his position, with the situation eventually blowing over. Despite that, it doesn't come as much of a surprise that he'd prefer to avoid discussing Martina Dalic or her new book.

"I've got a good relationship with all the people I've worked with and am working with now, and if we have some disagreement, then we find a common language," the finance minister said briefly.

''I haven't read Martina Dalic's book and I don't know if I'll manage to,'' Maric added at the margins of Poslovni Dnevnik's conference. In response to a journalist's question as to whether everything worked well in regard to Agrokor's extraordinary administration, and why Martina Dalic had to leave, Maric expressed his lack of desire to comment on whether or not she should return to the government.

As for the dangers the Uljanik shipyard situation represents towards public debt, Maric said Uljanik's influence will of course have an effect on the overall fiscal policy outcome for this year.

"The only good thing about it is that it will have a one-off effect. From our side, we intend to solve [the situation] as soon as possible so as to avoid any further consequences. Nevertheless, by the end of the year, according to our projections and expectations, public debt will continue to decline,'' Maric emphasised.

"With regard to taking further steps, we can't influence the worsening global environment that much, but do we have certain mechanisms in our hands. I, as finance minister, am responsible for implementing fiscal policy. All we propose is a responsible, rational fiscal policy that suits all of the challenges we're facing. We're putting emphasis on a more stable public debt, but the basic idea of us all should be ​​economic growth, which will lead to stronger employment growth,'' Maric noted.

Journalists present at the conference in were also very interested in the disappearance of the so-called "mantra" about budget savings which has been being talking about a lot over recent years.

"I wouldn't say that is stopped. If you look at the structure of the expenditure side of the budget, the biggest item is the retirement expenditure. It's true that the issue of expenditure has been challenged more than once and we must not give up on that. We reduced interest costs by over two billion kuna, but we're still paying too much,'' Maric said.

Regarding retirement, the question of whether or not retirement benefits in the new Law on Croatian Defenders represent a budgetary burden arose, to which Maric responded that his ministry had looked into potential financial implications during the process of the adoption of the naw Law on Croatian Defenders.

"The Law on Croatian Defenders is fiscally viable and isn't an additional burden for the budget," Maric concluded.

Want to find out more about what exactly happened within Agrokor and learn more about Martina Dalic's role within it all? Click here and follow the news on Dalić, the Hotmail affair, the writing of Lex Agrokor, and more.

Click here for the original article by Tomislav Pili for Poslovni Dnevnik

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