November the 25th, 2022 - This week in Croatian politics, we've had everything from wage increases for politicians and state officials and saying an emphatic ''YES'' to training Ukrainian soldiers, to Austria changing its tune regarding Croatian Schengen accession and Milanovic claiming that it's actually America fighting with Russia through Ukraine.

The monthly wage earned by Plenkovic, his ministers and parliamentarians is set to go up

Much to the delight of every average Joe living and working in Croatia and struggling to make ends meet, Plenkovic and co are set to get a wage increase. 

You'll probably remember that last month, the government and the trade unions finally came to an agreement on a basic salary increase, meaning that the monthly salary will also increase for Plenkovic, Milanovic, Jandrokovic, government ministers and members of parliament, that is, for all officials. However, with the passing of this particular law, the President of the Constitutional Court will be taking home the highest official salary, and not President Zoran Milanovic.

With the amendments to the law that the government sent to the parliament recently, for which it is requesting adoption under an urgent procedure, the base rate for officials will be the same as that applied to civil servants, so all future increases, including this one now, will automatically apply to politicians as well.

One Ukrainian minister thanks Croatia for allowing Ukrainian soldiers to come and be trained to fight the Russians in Croatia

''Thanks, Plenkovic!'' tweets the minister...

You might recall the likes of President Zoran Milanovic among others being staunchly against the idea of training Ukrainian soldiers to fight against their invaders here in Croatia. Milanovic believed that Croatia's showcasing of unwavering support for Ukraine and providing help and safety for refugees was enough, and that anything else would be provocation of Putin and inviting the war to this country's doorstep. Many agreed with him. Many more found themselves surprised at agreeing with him.

Still, it seems that his case for disapproval fell on deaf ears as the Ukrainian Defence Minister, Oleksij Reznikov, thanked Croatian Prime Minister Andrej Plenkovi and Defense Minister Marij Banozic on Twitter after the government sent the decision on Croatia's participation in the military aid mission to Ukraine for approval by the parliament yesterday.

"The government of the Republic of Croatia approved the decision to train the Ukrainian army in Croatia. A modern, well-trained army with powerful partners will definitely defeat a pack of Russian murderers, robbers and rapists. Thank you Andrej Plenkovic and Mario Banozic for their support!" Reznikov tweeted.

Croatia's participation in the military aid mission to Ukraine includes the training of Ukrainian soldiers in Croatia, which isn't something many people are all too thrilled about. Banozic, however, seems to have allowed all logical opposition to this fly right over his head. ''What are they against? Are they against saving lives?'' he asked.

Zoran Milanovic claims that America is fighting a war against Russia... through Ukraine

If you're a follower of Croatian politics in any deeper capacity, you'll know that President Milanovic often comes out with some rather unusual things. He also never misses an opportunity to spit on HDZ, which for many makes him a popular character in at least one aspect. For others, his distasteful remarks cross the line a bit too often, and for others, well, they can't quite make head nor tail of him. He has recently come out with something quite strange.

The Day of the City of Zadar took place recently, which is celebrated at a formal session of the City Council, and Milanovic was there. As expected, he referred to the government's decision to train Ukrainian soldiers in Croatia which I mentioned above, and which he was firmly against. "This is personal terror and harassment by Plenkovic, it's just his desire to push some of his ideas," said Milanovic, as RTL reported at the time.

President Milanovic also said that he knows what is written in the Croatian Constitution because ''he wrote it''. He was referring to the statement of the government at that session that the training of Ukrainian soldiers is based on the Constitution and on the laws and international agreements according to which Ukraine is an allied country.

''Therefore,'' Milanovic added: "Ukraine, to its credit, is not an ally." "The Croatian Parliament is not responsible for making any decisions on the training of foreign soldiers in Croatia," he said. He called things as they were set up by the government a "Udbas sabotage", which, if you know who the ''Udbasi'' (the Yugoslav secret service) were and what they got up to, you'll realise is quite the statement.

"Now it will be seen who's Russia and who's for Ukraine. I'm not for anyone. I'm for Croatia,'' Milanovic said.

"There's a war going on there between America and Russia. Between Russia and Ukraine, I'm on the side of Ukraine, of course. But it's a war between America and Russia," he said. "We have to state that the Americans are waging a war against Russia through Ukrainian youths, we have to say that. When it comes to decisions that have a security and defense character, you have to consult with the president, and I say to the members of parliament: ''Don't be intimidated,'' he said.

New measures against inflation could come to be, and all hands are on deck for post-earthquake reconstruction (for the earthquake that occurred two years ago)

Plenkovic recently pointed out that the proposed state budget for next year will provide funds for the growth of both wages and pensions, increased funds for veterans and the army, and he also announced possible new measures to mitigate the impact of inflation, with the message that "there's power and space for that".

"We have the space and strength to do that, if there's a need, and considering the circumstances, our measures will be precise and comprehensive, and as we've done so far, we'll solve it and you'll be satisfied with what we do,'' said Plenkovic in response to Branko Grcic (SDP ) when asked what will happen at the end of March next year, when all previous measures are due to expire.

''We'll also reduce excise duties on heating oil and thereby provide additional assistance to people,'' announced the Prime Minister during the parliamentary debate on the 2023 budget, adding that ''the number of people at risk of poverty is continuously falling in Croatia and that figure is smaller than when we assumed responsibility.''

In his answers to the deputies, Plenković pointed out that the fight against corruption continues, that it is strong and brings results.

Regarding the post-earthquake reconstruction for the earthquakes which struck Zagreb in March 2020 and the Banovina area in December of that same year, which he was also asked about, Plenkovic said that the government is providing a lot of aid and that the reconstruction of houses is intensifying, that all departments are working on reconstruction and are in charge of spending the available funds.

Austria is now all for Croatia joining Schengen, or is it?

You may have read (or heard) about Austria taking a stance against Croatia joining the Schengen zone in January 2023, with talk of the country potentially going as far as to block entry. Now it seems that the tide has turned, or has it? Memories are short when it comes to Croatian politics.

Plenkovic recently received the Federal Chancellor of the Republic of Austria, Karl Nehammer, at Banski dvori. This is Nehammer's first official visit to Croatia as chancellor.

"In the last thirty years or so, relations with Austria have been among the most extensive of the numerous countries with which Croatia cooperates since it was internationally recognised. Since the 1990s, Austria has been the second biggest investor in Croatia. This year, Croatia was visited by one and a half million Austrian tourists,'' said Plenkovic at the beginning of the press conference.

"Today we also discussed the most important topic ahead of this visit, which is the final two weeks before the decision on Croatian membership of the Schengen area. This was an opportunity to once again explain to the chancellor what Croatia has done from 2016 until today," Plenkovic said.

"We're currently discussing the expansion of Schengen, and we can see that Austria in particular has insufficient protection of its external borders. At the same time, we have a reduction in border protection within the EU itself, in our opinion it can't continue like that, so some measures will have to be taken,'' he said.

"When we talk about Schengen's expansion, and at the same time we criticise the plan that the European Commission should present with regard to these problems that we've presented, it is important to say that this doesn't apply to Croatia. Special votes will be cast for Croatia, as they will for both Bulgaria and Romania. We'll support Croatia's accession to the Schengen area, but we're going to be critical of the efforts of Bulgaria and Romania," added the Austrian chancellor.

The Austrian chancellor also said that it is necessary to change the system and strengthen the EU's external borders in order to make free movement within Schengen possible.

It's worth noting that Austrian Minister of the Interior, Gerhard Karner, caused great concern reently after he said that he was against the expansion of the Schengen area to include Croatia, Bulgaria and Romania. Over the past few days, he has repeatedly said that he is against any Schengen expansion, which he said is something that simply isn't working, which can be seen from the increased number of asylum seekers arriving in Austria. That country registered the entry of around 100,000 migrants this year alone, of which 75,000 were not previously registered in any EU country at all.

Nehammer warned that his minister wanted to signal that "Schengen is clearly not working and that new measures are needed." The Council for Justice and Internal Affairs meets on December the 8th and 9th, when it will make the final decision on Croatia's entry into the Schengen area. Croatia's accession was previously supported by the European Commission and the European Parliament, so all fingers (and likely toes) are crossed.

For more on Croatian politics, make sure to follow our dedicated section and keep your eyes peeled for our Week in Croatian Politics articles which are published every Friday.

November the 23rd, 2022 - Croatian Finance Minister Marko Primorac has revealed more about the highly unpopular recently introduced tax on profit. Many in the business world consider this new tax, which some are calling a ''tax on tax'' to be deeply detrimental to the success of larger companies.

As Poslovni Dnevnik writes, Finance Minister Marko Primorac pointed out the face that the Republic of Croatia is planning to introduce (yet another new) tax on all companies that enjoyed extra profit because it is a ''solidarity tax'' considering that we're in difficult times and that people should be helped as much as possible.

According to the proposal of the Ministry of Finance, the additional profit tax should be collected during the declaration of profit tax - at the end of April 2023. It would be a one-time payment, without the obligation to pay any advances, 24sata writes.

''The additional tax would only apply to the year 2022. It would be an extraordinary and one-time measure. The Law on Special Profit Tax is expected to enter into force by December the 31st, 2022 by urgent procedure. We expect 2.1 billion kuna in revenue to flow in from the introduction of this additional tax and that estimate is based on data for 2021,'' said Minister Marko Primorac.

The additional profit tax would include, he says, all economic activities. All companies headquartered in Croatia would need to pay this tax if their profit increased by more than 20 percent compared to the average of the last four years. It is also important to note the fact that only the amount that exceeds 20 percent will be taxed with this additional tax.

It's worth noting that many companies have complained that they simply don't have any ''extra'' profit to enjoy and that all earnings they have achieved since the end of the restrictive measures and economic downturn caused by the coronavirus pandemic have been spent on patching up the issues experienced back during that time. Others, including the Croatian Employers' Association (HUP) deem the introduction of this new profit tax a ''punishment'' to companies doing well and yet another obstacle to any boost to the already enfeebled domestic economy during difficult times dominated by spiralling inflationary pressures.

For more, make sure to keep up with our news section. For all you need to know about any other new laws and taxes which affect businesses in Croatia, follow our dedicated business section.

This week in Croatian politics, we've had everything from Spanish royalty visiting the country for the very first time to Milanovic insulting the foreign minister, missiles hitting Poland, complaints about taxes being put on taxes and still not actually knowing who dropped a drone on Zagreb back in March.

PM Andrej Plenkovic meets the Spanish king

Andrej Plenkovic met with the Spanish king during the very first visit of the Spanish royals to the Republic of Croatia this week. King Felipe VI of Spain and Plenkovic sat down to discuss economic cooperation, the ongoing energy crisis, migrant policies and Croatia's imminent entry into the Schengen area.

As stated, this was the Spanish royal couple's very first official visit to Croatia, and Plenkovic pointed out that the visit is "a pledge to further strengthen bilateral relations with Spain at all levels, with a special emphasis placed on on cultural, educational and scientific exchange".

A Memorandum of Understanding was also signed between the Croatian Ministry of Science and Education and the Spanish Ministry of Science and Innovation on cooperation in the creation of the DONES Programme, which envisages a partnership between Croatia and Spain in fusion research.

"Projects like this are an opportunity for further cooperation between Croatian and Spanish companies in the high-tech and scientific sphere, they also represent the improvement of economic relations," the press release on the matter stated. Plenkovic was quick to thank King Felipe for Spain's ongoing support in Croatia's entry into Schengen, which is set to occur on the 1st of January, 2023, the same date on which Croatia will officially adopt the euro as its currency.

The pair also discussed current challenges such as the energy crisis caused by Russian aggression against Ukraine and the bloc's migrant policy, which requires a unique European response, as well as the role of the EU in Latin America and in the Western Balkans.

The Croatian Employers' Association (HUP) claims the new tax which was proposed recently will further discriminate against certain companies and work to punish the most successful

''We're shocked by the government's proposal for a new profit tax because it's discriminatory and puts the most successful companies in Croatia at a disadvantage. This is actually the dishing out of a punishment to the most successful companies in this country, the companies that fill the state budget the most, employ the most people, pay the highest salaries and invest the most," said the Croatian Association of Employers, reacting to the introduction of the new profit tax.

"Companies operating here in Croatia don't have extra earnings, this year's profit barely covers losses from previous years, and it's completely unclear as to why the government is doing this. Ahead of us lies a crisis and recession, the depth of which we don't yet know. What we know is that Croatian companies are cancelling orders left, right and centre and that now we need the strength to survive the recession and let people keep their jobs," they warned from HUP.

"This is a proposal to introduce a tax on taxes, which will certainly stop investment in development, which means that there will be no new jobs or salary growth, and we're once again becoming an unsafe country for business and looking unattractive to investors. Along with Hungary, we're the only country that spreads the tax across the entire economy instead of, as prescribed by the European Commission Regulation, keeping it exclusively to the energy sector, which made an unexpected profit thanks to market disruptions caused by the war in Ukraine," announced HUP.

"HUP cannot support the unjustified discrimination of large companies that this proposal brings. On top of that, this tax cannot be introduced retroactively for the year 2022, when investment and employment plans have already been implemented. This proposal will unjustifiably penalise the most successful Croatian companies, the best employers and the largest investors who and they pay the most into the state budget," said Irena Weber, CEO of HUP.

Instead of introducing yet more new taxes, HUP very concretely advocates a full tax reform and stronger work relief through an increase in the personal tax deduction and a reduction in income tax rates. This is the way to strengthen the economy, attract new investments, increase wages and create new jobs, according to them.

Milanovic and King Felipe talk politics while their wives talk healthcare and the prevention of obesity in children

King Felipe VI of Spain and Croatian President Zoran Milanovic are both satisfied with the bilateral relations between the two European countries, while their wives emphasised the importance of preventing obesity in children for preserving the health of the entire population, according to the press releases published after their meetings in Pantovcak.

The Spanish king was on a two-day official visit to the Republic of Croatia together with Queen Letizia, and after the ceremonial reception at Pantovcak, President Milanovic and his wife Sanja Music Milanovic spoke with the royal pair. The Spanish king and the Croatian president both stated that they are satisfied with the bilateral relations between Croatia and Spain, which are two friendly and allied countries, members of the European Union and NATO.

King Felipe and Milanovic also referred to the close scientific cooperation between the two countries, which is particularly marked by the joint partnership in the aforementioned DONES programme, which the Spanish king also discussed at length with Plenkovic.

The meeting also discussed current European and global topics, including the security crisis in Eastern Europe caused by Russian aggression against Ukraine, while their wives discussed the importance of preventing obesity in children.

Sanja Music Milanovic and Queen Letizia of Spain separately discussed innovative approaches to obesity prevention in children in Croatia, Spain and the entire continent. The importance of obesity prevention in children for preserving the health of the entire population was emphasised and the importance of a comprehensive approach to obesity prevention through a multisectoral set of interventions aimed at all periods of life was emphasised, the press release on the topic stated.

Music Milanovic presented the professional and scientific activities she carries out in this area in Croatia and Europe and announced the upcoming inaugural summit of the spouses of European leaders on the topic of childhood obesity prevention across Europe, which she will jointly organise with the European Office of the World Health Organisation (WHO).

The King and Queen of Spain were, as stated, on their very first official visit to Croatia during the year which marks the 30th anniversary of the establishment of diplomatic relations between Croatia and Spain, all with the aim of confirming exceptionally good bilateral relations and providing incentives for their further development.

Croatian authorities still don't know who launched the six-tonne drone which hit Zagreb eight months ago

As news broke about an alleged Russian missile having crossed over into Polish territory, killing two people, our memories return to the drone which struck Zagreb eight months ago. It turns out that the powers that be still have no idea who launched the mysterious drone which crash landed and ended up in pieces. 

The Russians are still claiming that the drone which struck Poland had nothing to do with them, saying all those who are claiming it to be Russian are just trying to provoke. Still, we were all shocked and we went from speculating about a Russian attack on Poland, a NATO country, to thinking about the possibility of a third world war to, what is now increasingly likely, finding out that the missile was in fact Ukrainian.

As a reminder, two people were killed after, as Polish authorities then said, a "Russian-made projectile" fell near the village of Przewodow, about 6.4 kilometres west of the Polish-Ukrainian border, around the same time that Moscow forces launched their largest wave of missile attacks on multiple Ukrainian cities in more than a month.

The circumstances of the incident, including information about who fired the missile and from where it was fired, were unknown, which caused possible speculation about Russian involvement in the event and expectations of NATO's next step following the apparent striking of Poland, a NATO member state. But according to US officials, initial findings suggest that the missile that hit Poland was actually fired by Ukrainian forces at an incoming Russian missile.

Three officials told the Associated Press (AP) news agency that the Ukrainians were trying to defend themselves against Russian fire aimed at their electrical infrastructure. This is the event that reminded us of the incident that happened on March the 10th right here in Zagreb, just two weeks after the start of the Russian invasion of Ukraine. Then, a strange Soviet-made Tu-141 unmanned aircraft crashed in Zagreb near the "Stjepan Radic" student dormitory. During the fall, the unmanned aircraft crashed into the ground, leaving a crater behind it.

The circumstances behind it all are still unclear, so Index asked DORH recently if it had ever actually been established who had sent that drone into Croatian territory.

"On April the 13th, 2022, the County State Attorney's Office (DORH) in Zagreb, in the presence of experts, held a press conference where they reported on the results of the investigation related to the crash of the drone.

''At the aforementioned press conference, it was stated that the answers to the questions about where the [unmanned] aircraft came from and whose aircraft it was are under the jurisdiction of other bodies, and not under the jurisdiction of the State Attorney's Office," the answer reads. As for the press conference that DORH mentions in the answer, it was said that the drone had Ukrainian colours on it, but also that it was carrying a bomb. "It was undoubtedly established that it was fragments of an OFAB 100-120 aerial bomb," Major Mile Tomic said in a DORH press release back in April, adding that a lighter was also found.

"During the impact, an explosive device did explode, as was evidenced by the creation of a large crater, the scattering of earth and stones, the ejection of fragments from the crater, as well as traces of tearing and hardening of the metal parts of the bomb," said Ivana Bacic, a chief fire and explosion expert.

"The original aerial bomb should contain 40 to 46 kilos of TNT military explosive, which would be characterised by blackening," Bacic noted.

The Zagreb drone incident could therefore have had horrendous consequences, and yet it seems we're none the wiser. By sheer luck, a real tragedy was avoided. When people say the word 'drone', to many people it sounds like a plastic toy or indeed a type of worker bee, but in this case we're dealing with something that weighs six tonnes and was carrying an explosive on it. It fell in the immediate vicinity of the student dormitory and what could have happened doesn't bear thinking about. In spite of all of that, it is still not known who the drone belonged to, how it was launched, or and why.

Back at that time, the drone event stimulated two debates. First, the question arose as to how much protection NATO provides to Croatia in general.

Before entering Croatian territory, the drone flew over two NATO member states, Hungary and Romania, only to crash in the third NATO member state, Croatia, after seven minutes of flight. In those seven minutes, no one reacted, neither the Armed Forces of the Republic of Croatia nor the Directorate of Civil Protection. NATO did nothing either, and all that lack of action in the then very fresh situation of the shocking Russian invasion of Ukraine and the outbreak of war here in Europe once again.

"NATO's integrated air and anti-missile defense followed the flight path of the object that subsequently crashed in Zagreb. The Croatian authorities have announced that they are investigating this incident," said a NATO official at the time.

Second, in parallel with the investigation, there was a debate about whether the drone really had a bomb on it or not. Defense Minister Mario Banozic and Prime Minister Andrej Plenkovic claimed that there was an explosive device in the drone, while a number of experts disputed this. President Zoran Milanovic was also skeptical about the presence of a bomb in the drone, and he was quick to reproach Plenkovic and Banozic for stoking fears.

Even NATO Secretary Jens Stoltenberg entered the discussion about the explosive device on the drone, and he stated at a press conference that the drone was unarmed. After that, another press conference was called by Prime Minister Plenkovic, who denied his claim, along the way showing photos of parts of the drone that he said belonged to the bomb.

As stated, despite the severity of this incident and all of the potential reasons behind it which are extremely concerning to think about given Russia's actions and the ongoing war over in Ukraine, nobody seems much more in the know then they were back on March the 10th.

Foreign Minister Gordan Grlic Radman says that we will not be training Ukrainian soldiers on Croatian territory

If you recall, Zoran Milanovic was among the loudest in his opposition to this idea, and it seems he is far from alone in his thoughts that supporting Ukraine should be as far as Croatia goes, as we don't want to bring the war to our doorstep. 

"I'm absolutely not going to give my consent. Grlic Radman went to Brussels without my prior consent. There are enough of Plenkovic's mini ministers going up to Brussels without the prior consent of the commander-in-chief, and it isn't going to carry on that way. Grlic Radman is nobody and nothing, Plenkovic is actually important here, but he went and pushed himself to the front row like a dumb nerd,"  Milanovic said about the Minister of Foreign Affairs, once again using another opportunity to sling mud and throw insults around.

Grlic Radman also said later today that there will be no training of Ukrainian soldiers in Croatia, and he remained polite and professional in his wording.

"What Croatia can offer, it will offer. Is it the training of Ukrainian soldiers on our territory? No, no it isn't, it will be on the territory of some other EU member states that have offered. However, the countries in which that might take place still haven't been determined,'' Grlic Radman said in an interview with RTL Danas/Today.

For more on Croatian politics, make sure to keep up with our dedicated section and keep your eyes peeled for our Week in Croatian Politics articles which are published every Friday.

November the 12th, 2022 - Croatian Schengen entry which is set to take place on the same date as Eurozone accession (on the 1st of January, 2023) was given the green light by the European Parliament very recently. It is set to give the domestic economy a much needed boost.

As Poslovni Dnevnik/Ana Blaskovic writes with the convincing support of the European Parliament, Croatian Schengen entry is now another significant step closer, and the final green light for the complete abolition of border crossings between Croatia and the rest of the European Union should be given by the Council of the EU at the beginning of December.

If it achieves this goal along with Eurozone accession, Croatia will further deepen its integration into the bloc and facilitate business and trade with European Union markets at the beginning of next year. It also all represents a very strong political message from the powers that be in Brussels.

At the plenary session of the European Parliament in Brussels on Thursday, Croatian Schengen entry was formally supported by a large majority. Of the 612 parliamentarians who voted for the draft decision of the EU Council, 534 voted for, 53 against, with 25 abstentions.

"Schengen has been waiting for Croatia. The Croatian people have been waiting for Schengen and now that moment has finally arrived," said the Parliament's reporter for Croatia's entry into Schengen, Paolo Rangel.

"Combined with the entry into the monetary union, this is going to represent a positive shock for the economy. The monetary union is not just a replacement of a country's currency, as is unfortunately often emphasised in the Government's own campaign, but an entry into a new institutional framework that gives investors a clear signal that we're now part of a unique space, significantly more complex than it was in previous crises. The differences between Croatia, Austria and Slovenia will be based on other factors in the future, such as logistical ones, and Croatian Schengen entry removes logistical obstacles," explained economist Damir Novotny, adding that, for example, a potential investor can now weigh up their investments, counting on the fact that there will be no more waiting at the border and related costs.

The report of the European Parliament, which previously passed the committees so that the final vote can actually be a formality, stated that all of the criteria have now been met and that there are no obstacles to Croatia becoming a full member of the Schengen area which is totally devoid of internal (passport) controls.

It is important to note that the role of the European Parliament regarding the issue of Schengen expansion is advisory in nature and not binding, but it is an indispensable step of the procedure that requires EU member states to request the opinion of the Parliament.

After meeting the technical conditions and the recommendation of the EP, the final decision is political and will be made by the 22 EU member states that make up the Schengen area, which is expected to happen at the session on December the 9th, 2022.

The fact that the ticket to the club of member states of the European Union without borders comes despite criticism of the behaviour of the Croatian police at the borders towards migrants and illegal "push backs", and illustrates the strength of political support for Europe in the face of the war in Ukraine.

Videos brought to light by the journalist organisation Lighthouse have showcased beatings and mistreatment of migrants on the border between Croatia and Bosnia and Herzegovina by Croatian police. This and similar reports apparently caused consternation, but the Schengen accession process was not seriously shaken by any of it.

For more, make sure to check out our dedicated lifestyle section.

November the 11th, 2022 - This week in Croatian politics, we've had everything from still apparently not really knowing what's going on with Sberbank's shares in Fortenova and talk of the alleged Croatian desire to squash corruption, to more cash for foster parents, a blast from the past with COVID-19 and of course, Croatia's Schengen approval.

The Croatian Government is seeking additional financial help from the European Union following the coronavirus pandemic

With the utterly dire situation being faced by Ukraine following Russian invasion early this year and inflation causing us to have to dig deeper and deeper to make ends meet, the global coronavirus pandemic which rocked the world in 2020 almost seems like a distant memory. The government however is still working on patching up the enormous holes it left in the state budget and now wants additional financial help from the powers that be in Brussels.

Assistance in the amount of 550 million euros from the SURE instrument will be sought by the Croatian Government, and with the decision it recently made on that, it also obliged state-owned companies to pay 60 percent of last year's net profit into the state budget for the year 2022.

Taking into account the increase in public expenditures by 2.2 billion euros from February the 1st, 2020 to the end of April, 2022 due to national measures taken to address the socioeconomic consequences of the outbreak of the coronavirus pandemic, Croatia decided to request additional financial assistance from the SURE Instrument in the amount of 550 million euros, stated Finance Minister Marko Primorac, noting that the SURE Instrument (a European Union instrument for the issuing of temporary support to reduce the risk of unemployment in an emergency situation) provides extremely favourable financing conditions.

He also stated that on October the 25th, 2022, the Council of the EU adopted an amendment to the Implementing Decision of the Council, which approved Croatia's request for additional financial assistance to be paid out in the amount of 550 million euros.

European Chief Prosecutor Laura Codruta Kovesi says there is a will to stamp out corruption in Croatia

Laura Codruta Kovesi stated that corruption can unfortunately be found absolutely everywhere and there are no "clean" countries anywhere in Europe. She added that Croatia is showing its willingness to uncover and investigate criminal acts that harm the financial interests of the European Union.

"There's a myth that I would like to dispel today. If Croatia or Bulgaria or Romania have more cases of corruption that come to light than some other EU member state, it doesn't mean that these countries are more corrupt than others. There is no 'clean' country in Europe. Corruption is everywhere," said Europe's chief prosecutor.

"Here in Croatia, I see the will to uncover these criminal acts, to investigate them, and I think that is very important because when we talk about corruption and the fight against financial fraud, how the authorities position themselves is very important. If they sweep everything under the rug and don't uncover any cases, it doesn't mean that things are clean. I think the number of cases shows that there is political will... And that everyone is doing an excellent job," she pointed out.

She said that all cases are equally important, whether they involve ministers or ordinary people, because everyone is equal before the law and investigations into corruption are conducted in the same way. More than 1,200 cases of corruption are now under investigation by the European Public Prosecutor's Office (EPPO), but she said she couldn't talk about them publicly and couldn't comment on individual cases and cases which are currently under investigation.

It is estimated that the loss from VAT fraud, especially related to organised crime, amounts to 60 billion euros annually across the EU. In the first year of the EPPO's operations, criminal assets worth 250 million euros were confiscated. The EPPO's annual budget otherwise stands at a massive 44 million euros.

The Fortenova saga continues, and it has now come to light that the Dutch court never gave its approval for the sale of Sberbank's Fortenova shares to anyone

The competent Dutch court did not approve the sale of Sberbank's stake in Fortenova to an investor from the United Arab Emirates, claims the Croatian Ministry of Foreign Affairs, stating that permission was neither sought or issued at any point.

The Croatian Ministry of Foreign Affairs asked the Dutch Ministry of Foreign Affairs for an answer to the question of whether the Dutch authorities had given approval for the above transaction. They received an answer that permission was never requested, nor was it issued.

The MVEP states that the ministries will cooperate in order to determine all of the relevant information regarding the violation of the EU sanctions regime which has caused this scandal. It should be noted that the approval for the sale of Sberbank's 43 percent stake in Fortenova was not even given by the competent authorities right here in Croatia.

According to the EU regulation, a possible exemption can be provided for such transactions in the event that the competent authority of that EU member state grants its approval, but considering that the competent authorities here in Croatia and up the Netherlands have not done this, it is likely that the mystery surrounding the Fortenova saga will continue.

The police contact the State Attorney's Office of the Republic of Croatia in regard to the Fortenova situation

Interior Minister Davor Bozinovic recently confirmed that the police have approached the State Attorney's Office of the Republic of Croatia (DORH) regarding the sale of Sberbank's shares in Fortenova. He also pointed out that at the stage when the Council for the Implementation of Sanctions is in session and they are collecting all the necessary information, nobody can give any concrete answers.

When asked if the Arab investor to whom Sberbank sold its stake in Fortenova is coming to Croatia and if there will be a meeting in the government, Bozinovic repeated that he did not know and that there were many things that needed to be investigated and clarified before he could speak on anything.

When asked if the government had received SOA's report on Fortenova, he said that SOA regularly reports to the state and institutions about this and other such matters. When asked repeatedly whether he had received information from the SOA, he answered in the affirmative, but added that he could not reveal anything at this moment in time.

The government increases allowances paid out to foster parents 

Prime Minister Andrej Plenkovic stated at a recent government session that by increasing the basis for calculating the compensation to be paid out to foster parents and maintenance allowance for the year 2023, an additional step forward will be made for 2,504 Croatian foster parents.

"We are making an additional step forward for 2,504 foster parents and 5,838 beneficiaries in foster families," Plenkovic said, adding that this is a continuation of the increase in financial resources being poured into the field of foster care.

The government provides 160.5 million kuna in EU cash for the construction of a new port terminal in Osijek

The Croatian Government recently secured state co-financing in the amount of 160.5 million kuna for the construction of a bulk cargo transshipment terminal in the Port of Osijek. Government decisions have as such given consent to the Port Authority of Osijek to assume obligations at the expense of the state budget throughout 2023, 2024 and 2025 in the total amount of 160.5 million kuna.

Back in September this year, the Board of Directors of the Osijek Port Authority made a decision to enter into a contract for the construction of a new port terminal with GH Holding from neighbouring Slovenia. The value of the works was determined in the total amount of 143.5 million kuna without VAT, or 179.3 million kuna with VAT, with a deadline of 28 months.

The financial resources needed to settle the anticipated contractual obligations have been secured from the European Cohesion Fund and the State Budget of the Republic of Croatia for 2022 and projections for the years 2023 and 2024.

The new terminal for transshipment of bulk cargo in Osijek will be located on the right bank of the Drava River in the eastern part of the port area, and it will include two new connections spanning a length of 240 metres, the installation of facilities for the transshipment, loading and unloading and transport of goods, an access road which will be 300 metres long, railway tracks with a length of 610 metres, crane tracks and roads with a length of 285 metres, a substation and the construction of the necessary communal infrastructure, according to the State Secretary in the Ministry of Maritime Affairs, Transport and Infrastructure, Josip Bilaver.

The construction of the brand new Osijek port terminal will reduce traffic congestion in the city centre and the negative impact on the environment and noise, and the safety of ships in the port will increase, he added.

Croatia is given the nod to join Schengen by the European Parliament

Last but by absolutely no means least, the moment we've all been waiting for has finally arrived and Croatia has been given the final nod from the powers that be to join the Schengen zone at long last. This is certainly a moment HDZ is likely to run with as a scamp of their perceived success in Croatian politics.

In his opening address at a recently held government session, Prime Minister Andrej Plenkovic said that the European Parliament had just voted for Croatia's entry into Schengen.

"We are very satisfied with the presentation of the Commissioner, that is, the Vice-President of the EC, who gave very clear and strong support. There were 534 votes in favour of Croatia's membership of the Schengen zone," said the Prime Minister, congratulating Interior Minister Davor Bozinovic and the whole team who have been leading the activities to push for Croatian Schengen accession for the past few years.

"We are moving towards the final steps of the final adoption at the level of the EU Council on December the 8th" said the Prime Minister, adding that "with this, in addition to the decisions already made regarding membership in the Eurozone, Croatia will complete its two goals of deeper integration within the EU with both Schengen and Eurozone entry as of the 1st of January, 2023.

"These are such major capital foreign policy state goals that have now finally been realised, and in the years ahead we will have the opportunity to talk about the fruits of Croatia's additional international positioning," he said.

For more on Croatian politics, make sure to follow our dedicated section and keep an eye out for our Week in Croatian Politics articles which are published every Friday.

November the 4th, 2022 - This week in Croatian politics, we've had everything from investors purchasing stakes in Croatian companies that apparently nobody knew anything about, attempts to legalise marijuana, hopes for neighbouring countries to become EU member states, Italians and more drama regarding Zoran Milanovic.

Fortenova claims it was unaware of the approval of the sale of Sberbank's stake to an investor from the UAE, the government says it knew nothing, either

Ever heard of Saik Alketbi? Nobody here has either. The name cropped up for apparently the first time this week in Croatia after the sale of the Russian Sberbank's stake in this massive Croatian company was sold to him. The government also claims it has absolutely no idea about any of this either. To be more specific, a 43.4% stake has been sold to the Arab investor without any approval, with the transaction having been completed on the final day of October this year.

Sberbank, which is the biggest shareholder in Fortenova, is currently under international sanctions due to the Russian invasion of Ukraine, and it seems that the company hasn't even been officially notified of this stake sale, which is not only difficult to believe but extremely odd. It's worth recalling that the first would-have-been buyer of Sberbank's stake in the company was Indotek from neighbouring Hundary, but it failed in its quest as it didn't get the necessary approvals. The second attempt at a purchase was made by pension funds, but the transaction was halted.

''Sberbank's assets are under sanctions and their sale requires the issuance of all of the necessary approvals by the authorities in charge of implementing those sanctions,” Fortenova said in its statement on this rather bizarre matter.

“Fortenova has no information that further approvals to buy Sberbank's stake have been issued and therefore we don't see how a valid sale could have gone through. Besides, following the pension funds, there has been no due diligence of the company. If sanctions [those against Russia, which encompass Sberbank] have been violated, then a crime has been committed and the company has not participated in it,” Fortenova stated.

Multiple politicians have voiced their views on this topic, believing that something extremely strange has gone on. Politicial figures from the opposition (read not HDZ) are frothing at the mouth at this new opportunity to tear HDZ a new one, stating that it is impossible that after the initial Agrokor scandal from 2017 and now this latest charade with INA, claiming ''they don't know anything about it'' is an excuse which is wearing thin for HDZ.

Marijuana isn't addictive, claims parliamentarian when discussing the new on the substance

Ivana Posavec Krivec (social democrats) has stated that marijuana doesn't lead to addiction. Posavec Krivec's party was the one to propose a new law on exploiting the full potential of hemp in Croatia.

"The use of marijuana isn't harmful, it doesn't lead to addiction, this isn't a question of the use of hard drugs," Ivana Posavec Krivec said in Croatian Parliament during the recent debate on the proposed law of her party. With this, she responded to HDZ's Luka Brcic, who believes that this bill would create an atmosphere where people believe that the use of marijuana is not harmful, which, he believes, isn't the case. He stressed that like any drug, it can be especially harmful for children and young people. HDZ's Mladen Karlic also made sure to warn that the proposed law stipulates that every adult can grow nine flowering female plants for their own needs, which, in his opinion, flings the door wide open for the completely free enjoyment of marijuana and "the entry of drug tourism into Croatia". On top of that, he thinks such a move would result in a significantly higher number of marijuana users.

Posavec Krivec explained that research into marijuana has shown that the cultivation of nine female hemp plants is the amount needed to produce everything needed to relieve pain in seriously ill patients who are using it for relief. She claims that properly legalising and regulating this would prevent such people doing things under the table and purchasing impure things on the market, and it would help boost the domestic economy too. The proposers of the law, Posavec Krivec and Vesna Nadj, both pointed out that hemp has an exceptional economic potential because more than 25,000 different products are produced from it.

"The Club of Social Democrats believes that Croatia must not be at the tail end of European and global trends in the legalisation and liberalisation of hemp in order to exploit its full potential. Croatia must be a country that will be a leader in exploiting all of this plant's significant potential through this law,'' Nadj stated.

PM Andrej Plenkovic says it is in Croatia's interest for its neigbouring countries to join the European Union (EU)

Prime Minister Andrej Plenkovic (HDZ) stated after the meeting at the Western Balkans Summit 2022 in the German capital of Berlin that it is very much in the Republic of Croatia's interest that all countries in its immediate neighbourhood become members of the European Union, and he praised Germany's efforts in reviving the Berlin process.

"The meeting was very good. I think it's excellent that Chancellor Olaf Scholz decided to continue this initiative that Chancellor Angela Merkel started back in 2014," Plenkovic said after the summit ended. Croatia's energy potential and issues with the political system in Bosnia and Herzegovina were also discussed at the summit.

The Croatian Government finally came to a decision to increase the salaries taken home by those employed in public and state services

The government finally adopted some formal conclusions at a recent session, and the assumption now is that for about 240,000 employees in the public and state sector, their basic salaries and other material rights will be increased in this and the next year. According to the agreement which was finally (and somewhat painfully) reached last Wednesday by the trade unions and Prime Minister Andrej Plenkovic, salaries for employees in the public and state sectors will increase by six percent from October the 1st this year and by two percent from April the 1st next year.

The plan is also to increase Christmas bonuses from 1,500 kuna to 1,750 kuna, among other similar increases. Out of a total of 11 public and state service unions that were involved in negotiations with the government regarding the base increase of late, nine unions accepted the government's offer, meaning that the conditions for signing the addendum were met because the government's offer was supported by unions that have more than 50 percent of the total number of members of all unions that participated in the negotiations, as well as unions from at least three of the five areas that were negotiated.

The government's offer was still not accepted by the Preporod trade union and the Independent Trade Union of employees in science and higher education, considering that it was an insufficient salary increase for them considering the inflationary pressures we're currently all dealing with.

A six percent increase in the base will cost the state 600 million kuna, and it will be provided through budget rebalancing and redistribution, while a two percent increase will require a slightly lesser sum of 500 million kuna. Plenkovic said that the agreement with the unions testifies that they reached an agreement through a high-quality and open dialogue with the leaders of the unions, which confirmed the government's commitment to social dialogue and the strengthening of social partnership. Plenkovic also stated that their end goal is to support workers and employees as much as possible.

President Zoran Milanovic (SDP) wasn't invited to an important war anniversary

As All Saints' Day was marked, many delegations were present at Zagreb's Mirogoj cemetery. Wreaths were laid and candles were lit by Prime Minister Andrej Plenkovic, Minister of Croatian Veterans Tomo Medved, Minister of the Interior Davor Bozinovic, and the President of the Croatian Parliament, Gordan Jandrokovic.

"These are the days when we remember the dead with sadness and reverence, especially those who lost their lives during the Homeland War. Over these days, we also think about the suffering of others that we observe, especially over in Ukraine. I hope that all this week, and in all of Croatia's cemeteries, a dignified atmosphere will take hold, and that we'll all remember those who are no longer among us in peace and quiet," said Nina Obuljen Korzinek, Minister of Culture and Media.

"We urge that anniversaries are not misused for political purposes,'' she stated when asked if the tragic anniversary of the Vukovar massacre later this month will end up being  misused for political purposes by certain individuals and groups in Croatian politics.

"What we as a government do and say is aimed exclusively at coming together [to remember]. If someone creates an agenda on divisions, I think people will recognise that, and Minister Tomo Medved clearly emphasised that we as a nation are facing one of the saddest months of the year, especially for the people of Vukovar, Skabrnja and other Croatian cities which suffered heavy casualties back in 1991. We always call for us to come together in silence, with dignity, and that neither anniversaries nor commemorations be misused for any political goals, especially those that cause unrest, discord and divisions in society."

Commenting on the situation with Milanovic not being invited to an important anniversary, Obuljen Korzinek said that "nobody is boycotting anyone".

"We're doing our job responsibly. There are actors in society who only and exclusively have an agenda of inciting hatred, throwing out unacceptable theses and narratives, people will be quick to recognise that. I think that especially from this place we should call for dignity in our behaviour, but also in public communication,'' she said.

The minister didn't want to directly comment on the commemoration of the 30th anniversary of the liberation of southern Croatia, to which President Milanovic was not invited. She briefly and simply said that no one would face any issues because of it.

Plenkovic meets with the Italians in Pula, stating that he wants to further strengthen Croatian-Italian relations going forward

During his recent stay in Pula, Plenkovic with representatives of the Italian Union and emphasised their great commitment to maintain and further develop the culture and identity of their national community in these areas.

"The cooperation between the government, the Italian Union and Istria County as a whole can serve as an excellent example for all other national communities across Croatia. We also discussed the framework of our cooperation today, noting that there is a special chapter in the government's operational plan that concerns the activities of national communities," said Plenkovic adding that the goal of both Croatia and Italy is to strengthen their relations and level of mutual cooperation.

The president of the Italian Union, Maurizio Tremul, expressed his satisfaction with the conversation he'd had with the Croatian prime minister, noting that they discussed a number of topics aimed at improving the position of members of the Italian minority population across Istria, and thanked the Prime Minister for the government's support for the Italian national community.

For more on Croatian politics, make sure to follow our dedicated section and keep an eye out for our Week in Croatian Politics articles which are published every Friday.

October the 28th, 2022 - This week in Croatian politics, we've had everything from insults, Slovenia's opinions on Croatian Schengen entry and wage increase proposals to healthcare reforms, Milanovic's latest actions, and Nancy Pelosi.

The Croatian Health Insurance Fund's HDZ boss referred to Croats as arrogant in his speech about healthcare not being free

The director of the HZZO, HDZ member Lucian Vukelic has referred to Croats as arrogant because "they think healthcare is free". The HDZ member at HZZO's helm also made sure to refer to himself as somewhat arrogant, too, just for good measure.

"We have a lot of relatives in America, as soon as you see them, they say: 'Thank God I'm healthy'. They say that because healthcare costs serious money in America. In America, you pay for your healthcare out of your own pocket. Our people here are arrogant, and I must say that even I was arrogant, people in Croatia say 'it's free'. It's not free. Healthcare in Croatia isn't free, healthcare in Croatia also costs money," he said.

Vukelic failed to really explain what the point of saying any of that actually was, but he seemed to imply that there is a widespread opinion across Croatia that healthcare somehow doesn't cost money. Moreover, Vukelic himself said that a third of Croats who work annually pay 26 billion kuna from their wages for basic health insurance, so they certainly know that healthcare isn't free.

Of course, there's also the question of what we actually get out of this healthcare we're paying for, which HDZ member Vukelic claims is expensive. It would perhaps be okay if, given that Vukelic is already more than happy to admit that we all pay dearly for our healthcare, he explained why every now and then people are forced to collect money for their treatment, why pregnant women sometimes have to take their own toilet paper to maternity hospitals with them, why the waiting times for often basic examinations are so long and why medical staff are leaving Croatia.

Only later, when asked by a journalist about his statement, did the HDZ member try to justify himself by calling himself arrogant as well, which is absolutely true, but it is also true that he called other people arrogant with the thesis that "our people say that healthcare is free", which honestly, they don't. When they see how much of their wage is shaved off for it each month, they definitely do not.

A man who takes home a monthly salary of over 18,000 kuna, who drives a 300,000 kuna Mercedes, who has an official car, who owned a 150,000 kuna 2001 Harley Davidson until 2019 and who claims his ''communication skills are excellent'' but makes sexist remarks on a TV show (Otvoreno) about women talking a lot should perhaps quiet down before calling others arrogant.

On the topic of healthcare, Health Minister Vili Beros has announced reforms to the system

Beros has presented his healthcare reform package, and it's extensive. Preventative examinations will be introduced, with pilot projects beginning next year in two Croatian counties, the number of specialisations in primary healthcare will be widened, there will be revisions for national preventative programmes for malignant diseases, a focus will be placed on melanoma, hospital system changes are set to come in, and there will be an emergency helicopter service fully established and up and running (or flying) by 2024.

This is just a little bit of what was presented and discussed. You can read more details in this article.

Are Croatia and Slovenia set to start falling out over Schengen entry?

The topic of Croatian Schengen entry is hotting up as the country's Eurozone accession rapidly approaches, but is neighbouring Slovenia ready to throw yet another spanner in the works? 

An expert in European Union law from the Faculty of Law in Maribor, Janja Hojnik, was a recent guest of Novi Dan on N1 where Croatia's entry into Schengen, among other things, was discussed. Hojnik noted that, as far as it seems, the Slovenian Government has not decided to block Croatia's entry into Schengen in any way.

"It has been determined that it is a mutual benefit for Croatia to enter the Schengen zone. The plan is for Slovenia to also ratify the agreement on Croatia's entry into Schengen," she said. She also commented on the announcement, which was published yesterday in the Ljubljana-based newspaper Delo, that Slovenia will issue a unilateral note stating that Croatia, by entering the Schengen area, accepts the arbitration ruling which was reached in the past regarding a territorial dispute.

"Recently, I was on Slovenian television and they asked two ministers for their comments on those statements and one minister said that it was all misinformation, and the Minister of Justice said that the Government hadn't even commented on it and that she knew nothing about it, that this statement should be confirmed in parliament, and there is no information from the Foreign Policy Committee about it. We can only speculate whether it will be brought to the Slovenian Government itself or to parliament. I think it would be a little unusual if it were inserted into the Act on Ratification. This is not the norm and the European Commission would probably ask Slovenia what it all means. I don't think that ratification with this condition is possible. I don't see any legal consequences to this. Such a statement can't be part of European Union law, and it doesn't have any legal consequences even in international law,'' explained Hojnik.

When speaking about the arbitration agreement between Slovenia and Croatia, she said that the task of politics is to resolve relations between neighbours, not to deepen them.

"I'd like Slovenia and Croatia to solve this problem themselves, without any external factors getting involved. Schengen is probably the last thing where Slovenia could have a veto. It is in Slovenia's interest that they aren't on an external border. I see it as the responsibility of politics to find an agreement,'' she said.

Plenkovic says he's going to regulate work on Sundays and raise the minimum wage. Again.

PM Andrej Plenkovic recently discussed the state of the economy, ongoing inflation, the consequences of the global coronavirus pandemic and of course, Russian aggression against Ukraine. Digitalisation and the green transition, two topics that keep coming up, were also touched on. Perhaps what attracted the most attention of all, however, were the discussions on banning (or should I say regulating) work on Sundays (remember that?) and of course, talk of raising the minumum wage. If you've spent any time following the domestic political scene, neither of the aforementioned and farily worn out topics will come as a surprise to you.

"We're going to regulate work on Sundays and the minimum wage will go up,'' says Plenkovic, who announced that his government would make several steps forward in both this and in other regards in the coming weeks. "We'll regulate work on Sundays and we've come up with a rational, well-balanced proposal," Plenkovic assured, adding that the minimum wage will also increase from next year to 4,220 kuna net, and a proposal for an additional tax on extra profits is being prepared in order to more fairly share the burden of the ongoing crisis. He also announced the continuation of the social dialogue with the trade unions, with whom intense conversations have been happening of late.

He noted that in just two months, the Republuc of Croatia will be among the fifteen countries in the world that are in NATO, the European Union, Schengen and the Eurozone, and that negotiations with the Organisation for Economic Cooperation and Development (OECD) have been launched.

Plenkovic uses yet another opportunity to troll President Zoran Milanovic (SDP)

If you've spent any time in the City of Zagreb over the last few days, you'll have noticed that getting anywhere by road proved impossible for about 48 hours. The Crimea Platform Summit was being held right here in the Croatian capital, and for road users, the problems were very much in evidence. Plenkovic recently discussed how this extremely significant summit went, making no effort to hide his satisfaction with how it unfolded, and once again offering words of support to Ukraine.

It didn't stop there. If you follow Croatian politics, you'll know that Andrej Plenkovic (HDZ) and Zoran Milanovic (SDP), the Prime Minister and the President of Croatia, make sure to miss no chance to insult or troll each other, and this was no exception. Plenkovic made sure to make his feelings clear on Milanovic's earlier comments about Nancy Pelosi and the aforementioned summit.

"I think you're more than aware of just how important, useful and excellent an event like this that we organised actually is for the courageous, correct and moral foreign policy of the Croatian Government. This topic of whether or not someone went to Makarska just isn't the subject of my interest. He can explain that one himself,'' Plenkovic said, referencing Milanovic having gone to the aforementioned part of Central Dalmatia.

''I guess you can see who has been saying what over the past few years. I don't know what sort of rally he'll decide to go to, maybe he'll go to one Russia organises. Mrs. Pelosi didn't waste her time on irrelevant things, and neither did we," Prime Minister Plenkovic concluded, having made a very clear jab at Milanovic with the Russia comment. Gordan Grlic Radman, the Minister of Foreign Affairs, also touched on the topic of Milanovic, claiming that ''people are calling and asking what Croatia's position actually is'' in regard to the Russia-Ukraine war.

Nancy Pelosi praises Croatia for its humanity towards Ukraine and refers to the country as a leader in the diversification of energy sources

Nany Pelosi said that Croatia could offer Ukraine a lot owing to its relatively recent experience of war, and she also said that this country is a leader in the diversification of energy sources. Pelosi issued a warning that energy has become a means of blackmail in Russia's horrendous aggression against Ukraine, before thanking Croatia and Plenkovic for their leadership in the field of energy.

"Croatia is a small enough country to be resilient, but big enough to be significant in terms of security, democracy, peace and values," Pelosi believes, adding that the diversification of energy sources is helping to save planet Earth. Plenkovic said that with the construction of the LNG terminal on Krk, Croatia has now ''finally resolved" a four-decade-long debate in energy circles and that by deciding to increase its capacity, the government has "enabled Croatia to become an energy hub'' for natural gas.

Pelosi also said that the Croatian capital is the "perfect" place for the summit to be held, emphasising the very strong Croatian-Ukrainian friendship and the help that Zagreb continually provides to Kyiv as it goes through such terrible times.

For more on Croatian politics, make sure to keep up with our dedicated section, and keep an eye out for our A Week in Croatian Politics articles which are published each Friday.

October the 21st, 2022 - This week in Croatian politics saw everything from hopes of energy drink bans, the Russian media writing about Milanovic and former government ministers getting new jobs to gas prices, wage proposals and hospital construction plans.

MEP Biljana Borzan (SDP) thinks the Health Ministry and the Croatian Government should ban the sale of potentially dangerous energy drinks to minors

How many kids need to suffer the health consequences of consuming energy drinks before the government steps in and does something about it? Borzan asks, referencing the horrific case in which a twelve year old suffered a stroke.

"I've been warning people about this problem for years, I've submitted a proposal two times for a legal ban through Croatian parliament, but the Minister of Health and the government don't even care about it," said Borzan, recalling another energy-drink related death, this time of a thirteen year-old in Zagreb.

"I ask them, how many more children need to be harmed for you to do something about this? Whose interests are you defending with this carelessness and inaction?" asked Borzan. The MEP also pointed out that research shows that children and young people are increasingly drinking energy drinks, which are harmful to them in many ways, and a large number of children claim that they drink them because they need energy, which is of enormous concern.

On top of that, the very adult trend of mixing energy drinks with alcoholic beverages is also beginning to make an appearance among younger generations. Borzan believes the fact that energy drinks are even being consumed by kids should result in a ban on selling them to minors, but given the fact that kids are also mixing them with alcohol, nobody should be in two minds about the next move.

Koncar speaks out about employing controversial former government minister Darko Horvat, saying everything was strictly above board

Koncar rather surprisingly announced the employment of the former Minister of Spatial Planning, Construction and State Property, Darko Horvat, recently. Just keep in mind that Darko Horvat had to step down from his position as a minister within Plenkovic's government because of alleged corruption.

Koncar has stressed that despite the fact that they have employed a minister who had to step down, everything was done correctly and Horvat was selected for the position thanks to his qualifications as a graduate electrical engineer.

"Owing to the recent retirement of an engineer who strategically participated in technical and commercial work related to the field of electricity distribution, a job opening was announced as we were seeking an electrical engineer with significant operational experience in that area. Mr. Horvat was selected as a graduate electrical engineer with extensive experience in the field of electricity distribution, including experience in the field of business at both the Croatian and international level.

During the initial media announcements, incorrect information was circulating claiming that Darko Horvat was set to hold the position of adviser to Koncar's Management Board. In reality, his field of activity will be focused exclusively on the field of electrical distribution, Koncar stated.

After his resignation, Horvat activated what's known as the 6+6 option.

On February the 19th, when he was first arrested, Darko Horvat resigned from his position and activated the 6+6 option, which legally prevents him from being appointed to management positions within companies with which his former ministry or government cooperated. It isn't actually prohibited under the law for him to receive a fee for providing consulting services to or within a company in which the state has a three percent ownership. Koncar is 80 percent owned by Croatia's pension funds, the head of which is HDZ member Gordan Kolak.

Economy Minister Davor Filipovic has stated that there will be no shortage of gas for the Croatian market this winter, despite talks of the opposite being the case

It seems like all we're talking about recently is the spiralling price of gas and energy, and while the Croatian Government recently came to the decision that INA would sell all the gas produced here in Croatia to HEP, it turned out that this was simply not possible. INA has seven contracts that cannot be terminated. Minister Davor Filipovic commented on the situation.

''There's going to be enough gas, and that Croatian gas is going to be provided to all hospitals, schools, kindergartens and all institutions at a price of 41 euros. The government made a decision recently that is heading in that direction,'' said the Minister of Economy and Sustainable Development, Davor Filipovic, adding that the most important thing is that Croatian gas goes solely to Croatian institutions.

"It's known that we ordered INA to increase gas production by 10 percent. As for the change in the regulation, for seven customers there are fixed contracts that cannot be terminated unilaterally, to unilaterally terminate would be more harm than good and termination would mean those customers launching lawsuits against INA, and then INA would sue us. That's why we made that exception, and as soon as those contracts are finished, INA will be obliged to transfer all of the rest of that gas to HEP," explained Filipovic.

He noted that distributors who have experienced losses will be able to buy their gas from HEP, adding that both INA and MOL have taken a huge hit to their reputations owing to the recently exposed affair.

The Croatian Government offered teachers higher wages, but the Croatian Teachers' Union rejected their proposal for the second time

The Grand Council of the Croatian Teachers' Union unanimously rejected the Croatian Government's latest offer on wage increases which came to light on October the 18th. The new offer was deemed unacceptable because it wasn't even aimed at securing a greater increase in the base rate compared to their previous offer, but only at a different dynamic of the payment of the previously proposed increase in the base rate, the Croatian Teachers' Union announced when explaining the reasons behind their rejection.

"Increasing the amount we get for Christmas bonuses, holiday allowance and other such things can't compensate for the growth of the base rate or solve the issue of the salary lag either this year or next year. Therefore, the new offer was rejected,'' they stated.

The government initially offered the unions an increase in the salary base rate by four percent from October the 1st and two percent from April the 1st next year, but the unions refused to accept it. At the second meeting, they received a new offer, which was also binned.

Public service unions have been asking for an 8 percent increase in the base starting on October the 1st this year and another 5 percent starting on January the 1st, 2023.

Russian media discuss Croatian President Zoran Milanovic, claiming he has "admitted that NATO is partaking in the war in Ukraine" in his rejection of the idea of Croatia training Ukrainian soldiers

Recently, Milanovic stated that he isn't familiar with the idea of ​​European foreign ministers to train 15,000 Ukrainian soldiers here in Europe, but that upon hearing of it, he "doesn't support it".

"I don't support that idea because I don't support involving Croatia in this war more than it should be. It's bringing the war to Croatia. We stand in solidarity [with Ukraine] and that's as far as it should go," he said.

The Russian media were of course quick to twist Milanovic's statement and beliefs and have written extensively about how Croatian President Zoran Milanovic apparently ''opposes the training of militants". The Russian state news agency, TASS, reported his statements, and the RIA Novosti agency added that Milanovic had previously "emphasised that Russia and Croatia have become enemy states and had expressed concern about this fact." Russian Interfax writes that, according to the media, the Croatian Government had offered EU training for Ukrainian soldiers.

Regnum writes that Milanovic opposes the "training of Kyiv militants in Croatia" and that he doesn't support "any excessive interference in conflicts on the territory of the former Soviet Socialist Republic of Ukraine." Regnum also claimed that former Croatian football player and national team member Tomislav Dujmovic said around one week ago that Milanovic was ''on Russia's side'' and that he is ''observing the Russian-Ukrainian conflict more objectively than Prime Minister Andrej Plenkovic is''.

Milanovic opposed the training of Ukrainian soldiers, but also the sending of weapons to Ukraine because of the danger that the Croatian Army itself would run out of weapons, MKRU writes. Milanovic would agree to send weapons to Ukraine if Croatia is compensated, they added, before the Iz.ru made the strange statement that ''Milanovic has confirmed that NATO is participating in this conflict.''

Milanovic's statements were also reported by Kommersant, which focused instead on the statement that the training of Ukrainian soldiers would represent Croatia's interference in the war in Ukraine. Ruska Gazeta wrote that, in addition to Zoran Milanovic, the Hungarian Minister of Foreign Affairs Peter Szijjarto also rejected the idea of Europe training Ukrainian fighters.

Transport Minister Oleg Butkovic claims that "Croatia is much more successful in comparison to some other EU member states''

On a recent episode of the radio show ''And now for the government/A sada Vlada", the Minister of Maritime Affairs, Transport and Infrastructure Oleg Butkovic said that the Croatian Government has successfully dealt with some major challenges over the last six years, adding that they expect the growth of the Croatian economy in 2023, as in the last year, to be higher than the EU average.

On Tuesday, Prime Minister Andrej Plenkovic submitted the annual report on his government's work to the Parliament, which outlined economic growth of around 6 percent and the continuation of aid measures towards both people and companies throughout these challenging and in some cases truly unprecedented times.

"A very challenging year is now behind us, last year we achieved the third highest growth in the entire European Union and due to growth of 10.2 percent, we brought two packages into force with a total value of 26 billion kuna. In order get through this energy crisis as best as possible, the government also undertook a lot. Peljesac Bridge was finally completed and put into function, and on January the 1st, 2023, we'll finally enter the Eurozone and Schengen," Oleg Butkovic said during his time on the aforementioned radio programme.

He added that these are major developments, noting that they have at their disposal a package of 25 billion euros from the National Resilience Programme and a new financial envelope.

"We're ensuring not only reforms but the continuation of investments, and this opens up possibilities for this country's economic growth to be above the EU average in 2023 as well. The situation is good," stated the minister.

"Compared to other EU countries, Croatia has been much more successful," he believes.

The topic of the construction of the Blato hospital has reared its head once again, with the Health Ministry claiming that works will begin in two years

The construction of the National Children's Hospital in Blato (Zagreb) should begin in 2024, and in the coming weeks the call for tenders for the preparation of the conceptual design will begin, the Ministry of Health announced, emphasising that it will be the first hospital in the City of Zagreb to be located south of the Sava River.

This greenfield project worth around 300 million euros will be financed from the National Plan for Recovery and Resilience and other forms of European Union (EU) funding. The new children's hospital will span an area of ​​100,000 square metres in total, and construction is planned in two phases. About 50 thousand square metres of gross area will be built in each phase.

As far as land agreements with the City of Zagreb go, in the implementation of this strategic project, the Ministry of Health and the City of Zagreb are continuously holding working meetings in order to realise the transfer of city land in Blato through partnership cooperation, with the condition of the final and complete construction of the hospital. At the last working meeting in the Ministry of Health with the City of Zagreb, property and legal issues that need to be resolved were discussed.

Given that this will be the very first Zagreb hospital to be situated south of the Sava, he realisation of the Blato hospital project represents a significant contribution to global efforts to reduce greenhouse gas emissions, as all of its energy would come from renewable sources. It will also represent a big step forward in the territorial availability of healthcare services not only for the residents of the Croatian capital but also for everyone coming to Zagreb for treatment, especially from the south of the country.

''Although it seems that the road to the new Blato hospital will be a very long one, we mustn't lose sight of the fact that the idea and desire to embark on this demanding project took even longer. Despite the two-year battle with the global coronavirus pandemic and all of the other challenges that have since come to pass, the government and the Ministry of Health are taking the proper steps in order to successfully realise this strategic project for the healthcare system, which will provide the highest quality healthcare for children in Zagreb and all of Croatia,'' the Ministry of Health stated.

For more on Croatian politics, make sure to keep up with our dedicated section and our Week in Croatian politics articles which will be published every Friday.

October the 17th, 2022 - The International Monetary Fund (IMF) has released its predictions amid ongoing inflation, the Ukraine-Russia war and spiralling energy prices during the post-pandemic period. What precisely awaits the Croatian economy according to their predictions?

As Poslovni Dnevnik writes, the main problem that is currently being experienced on a huge scale is that this current economic slowdown is very widespread. A third of the global economy could end up having to record a "technical recession", which is equal to two consecutive quarters of contraction of economic activity,'' Croatian economist Matej Bule from the Croatian National Bank told the Croatian Radio network.

''An additional problem is that that same economic slowdown is simultaneously being accompanied by very strong inflationary pressures,'' he pointed out, adding that the Republic of Croatia is currently handling it better than some other comparable countries, which might come as a surprise to those who feel that their pockets and bank accounts are taking hit after expensive hit.

 "Everything is currently heading in the direction of normalising these inflationary pressures"

"We had double-digit growth back in 2021, in 2022, growth of 5.6 percent is expected for the Croatian economy, but for 2023, all relevant institutions expect a strong slowdown for the economy," he said, adding that growth of a mere 1 percent is expected next year.

He also stated that the movement of inflation will depend on a number of factors, and one of the most important things is that we'll have to keep a close eye on the movement of the prices of raw materials on the global market.

For more on the Croatian economy and ongoing inflation, make sure to keep up with our dedicated news section.

October the 14th, 2022 - Let's have a look at the past week in Croatian politics with just some of the stories from the political stage, the bad, the embarrassing, and the just plain weird.

HDZ earns its second worst rating since Andrej Plenkovic has been at the helm of the party

HDZ hasnt done brilliantly in its latest rating, with it being the second worst one since Plenkovic has been top dog. Index reports that in cooperation with Promocija (Promotion) plus, RTL published the CRO Demoskop for the month of October 2022. The survey was conducted from October the 3rd to thr 6th on a sample of 1,300 respondents. The standard error of the sample was +/- 2.77 percent with a confidence level of 95 percent.

For most people, the INA situation is the most important issue within Croatian politics and in the country at this moment in time, and this continues to affect the rating of the ruling party and of the prime minister himself.

Although HDZ is still the first choice when it comes to political parties for almost a quarter of respondents, this is HDZ's second lowest rating since the arrival of Andrej Plenkovic at as head of the party (October 24.4 percent - September 24.2 percent). SDP (October 16.7 percent - September 16.6 percent) and Mozemo! (We Can!) also have similar support as they did back in September. (October 10.6 percent - September 10.6 percent.

With a slight drop, the fourth choice of the respondents was Most (Bridge), slightly above 9 percent (October 9.2 percent - September 9.4 percent), and another right-wing option, Domovinski pokret (Homeland Movement), which is growing when compared to September (October 6 percent - September 5.5 percent).

The Croatian Government apparently wants to go ahead with the much talked about plans to build the country's national stadium in Zagreb, the Ministry of Tourism and Sport says no, and the City of Zagreb has been left in the dark

If you follow the world of sport, particularly football, you've probably wondered why a country so famed for its sportsmanship and for churning out top class athletes doesn't actually have its own national football stadium. You wouldn't be the only one who has asked that question. It is a subject that people have gone back and forth on for years now, and it appears that the situation is as clear as it has ever been (clear like mud, that is), as the government says we're set to go ahead with the stadium's construction, but the Ministry of Tourism and Sport says no.

A spokesperson for the Croatian Government, Marko Milic, has said that a stadium is going to be built, finally, and that it is a priority, but in just as much time as it took him to make the statement, the aforementioned ministry said that wasn't going to be the case. To say he is a government spokeperson, Milic doesn't take the stand as it were very often, and his confidence surrounding this matter has obviously confused some.

"Soon it could be a reality. And yes, I can tell you that we are going to build a stadium in Zagreb," said Milic, adding that addition to the state, other stakeholders will participate in the work, without specifying who exactly those stakeholders actually are.

Milic also said that preparations and consultations for the new budget year are currently underway, and that investments for the apparently upcoming stadium are also being taken into account in these calculations. Hr also noted that a financial framework is being sought for the construction of a stadium in Zagreb where Dinamo would play. Milic later mentioned other larger cities such as Rijeka and Split, where there are stadiums that have "national significance".

"The priority is to build the stadium in Zagreb, which is in a bad condition," said Milic, adding at the end that both Dinamo and the Croatian national team have shown that they deserve an adequate stadium.

The Ministry of Tourism and Sport was quick to deny what Milic had stated. 

"The state isn't building the stadium, nor is it financing the stadium independently, nor is this the model we're thinking about, but the state could potentially co-finance the construction and equipping of sports buildings, according to clearly developed criteria and based on the conducted tender," the Ministry led by Nikolina Brnjac stated in response.

As she explained, the draft Law on Sport will give the government the opportunity to declare certain sports buildings as buildings of national interest, but it is, in typical Croatian style, entirely unclear what the criteria for something to be of national interest actually are. Also in typical Croatian style, the City of Zagreb apparently has absolutely no idea of any of these plans. ''We know absolutely nothing about any of these government plans,'' Mayor Tomislav Tomasevic's office stated.

It also begs the question as to why this is even a topic within Croatian politics when parts of Zagreb and particularly Sisak-Moslavina County are still waiting for renovations and reconstruction following the earthquakes of 2020.

Most tries to twist the knife with HDZ by publishing a list of the party's apparently ''forgotten'' ties with Russia

Most took to good old Facebook to respond to PM Andrej Plenkovic, who, just to quickly remind you, rejected the opposition's claims that the government and HDZ were to blame for the catastrophically embarrassing and expensive INA affair, and said that the opposition is attempting to come together and overthrow the government in a joint operation.

"There are no doubts about any of this, it's all just an orchestrated operation and the actions of very clearly visible and recognisable actors, we just have to see how much of it is internal, and how much is external. That's the only question we still need to look at in a little more detail, but we'll examine that too," Plenkovic said.

Most then made a list of links between HDZ and Russia.

"Here are all of HDZ's ''forgotten' connections with the Russians. Since HDZ is trying to move away from the topic of its corruption and high treason in regard to INA to the topic of Russian players, mercenaries and Russian influence, we'll be very happy to oblige and remind them a little about their own connections:

- HDZ borrowed 4.2 million kuna from the company Gas trading d.o.o., owned by PPD, which in turn created its wealth from the sale of Russian gas.

- HDZ negotiated for a long time with Ivan Vrdoljak about ousting Most so that HNS, which was connected to Russian capital through Vrdoljak, would take its place. By the way, Ivan Vrdoljak asked the Ministry of the Interior (MUP) in a written document to give the Russian tycoons Grigory Edel and Mihail Zhukov Croatian citizenship, which they needed to break through Russian capital of dubious origins, which was, strangely enough, linked to Oksana Dvinski, HDZ's great "benefactor".

- HDZ minister Zdravko Maric came into his job [as finance minister] from Agrokor came and stayed with the government after securing Russian money from Russian banks for Agrokor. At the same time, Agrokor was a donor to HDZ through various different companies.

- HDZ's Minister of Construction Ivan Paladina has business ties to Russian tycoons, especially to Sergey Glyadelkin, who is connected to the Russian secret service.

- The Russian Foundation called ''New Generation'', led by the already mentioned Russian citizen Oksana Dvinski, the wife of Maksim Poletaev, was a donor to HDZ with 2.6 million kuna after completion.

- The HDZ government awarded the contract for the overhaul of the Mi-171Sh helicopter worth 206.9 million kuna to the Russians, and that overhaul turned out to be very problematic.

As you can see, HDZ members are the last ones who should be talking about Russian mercenaries," Most concluded in their rather damning Facebook post.

An HDZ parliamentarian claims that his role model is Sylvester Stallone

What does the world of Croatian politics and Hollywood have in common? Apparently more than you'd think, and not just because of the endless drama. HDZ Parliamentarian Ante Bacic Baco, who is enrolled in military school and attends it with HV officers, once told Dalmatinski portal that his role model is actor Sylvester Stallone.

"I like such people who don't really have the prerequisites to succeed, but still succeed with motivation and persistent effort," Ante explained, saying that Stallone inspires him because of that fact.

His life motto is, as he said in an interview: "Keep punching" - a statement from the classic Stallone movie, Rocky.

Aside from idolising Rocky, Baco has been quite the hot topic of sorts over more recent weeks. President Zoran Milanovic commented on his enrollment in the "Ban Josip Jelacic" War School, judging that it was "a criminal offense because there's no place in the war school for parliamentarians, who by definition are state officials".

"If they don't withdraw, we'll report them and I will personally forbid the entry of such people into the premises of the Croatian Army,'' Milanovic said of the matter.

Following Ivo Sanader's acquital, President Zoran Milanovic wasted no time in claiming that while Sanader was a thief ''solely for his own gain'', HDZ has advanced its tactics of theft

Zoran Milanovic and Andrej Plenkovic make very little effort (if any) to hide their utter disdain for each other. The pair frequently come to blows (not literally of course, Sylvester Stallone isn't involved in this particular feud), and Milanovic has quite the way with words when it comes to insults and being a troll. One may hope the pair would have more pressing issues to tackle, but I digress.

Milanovic was quick to hop on the band wagon in regard to the massive INA scandal, of course blaming HDZ entirely, and claiming that while Ivo Sanader was indeed a thief, he was in it for himself, unlike HDZ which he claims has ''improved its methods'' of theft.

"The story surrounding INA is the story of HDZ. All these slurs about Russian people are attempts by Plenkovic's martyrs to bury that story with whitewash. But that isn't going to work, it doesn't work because these things are just obvious. Did HDZ set up people there? Is Skugor connected to the top people within HDZ? Yes. Was he going to get rich in this underhanded way? Did he panic because he got too rich? Was the gas sold through the county company where Banozic is? Those are the facts," he said.

"Ivo Sanader fell like the greedy private thief he was, but he stole for himself. He was accused in the way in which he stole. HDZ was declared to be an organisation of robbers. They didn't learn anything [from matters involving Sanader], they just improved their techniques when it comes to robbing. Plenkovic ignores it all, but to me that just means he supports it," Milanovic said.

For more on Croatian politics, keep up with our Week in Croatian Politics articles which will be published every Friday.