The problem of emigration in Croatia has been further underlined by weak economic indicators, after Bulgaria, Croatia is the most underdeveloped country in the EU, explains economist Zdeslav Šantić.

As Tomislav Pili/Poslovni Dnevnik writes on the 14th of April, 2019, bringing Croatian average salaries closer to the average salaries of Western Europe, and strengthening institutions, are major factors which could significantly reduce the outflow of people from Croatia to work overseas, according to a study by the Brussels think tank, Centre for Economic and Political Studies (CEPS), which was published last week.

In a piece of research entitled "Mobile Workers of the European Union: A Challenge for Public Finance?" authors Cinzia Alcidi and Daniel Gros discuss current trends in labour mobility within the European Union, and the challenges faced by the countries from which such a workforce leaves.

The research suggests that in the last ten years, the mobility of workers has increased considerably in the EU. While in 2007 only 2.5 percent of workers had left their home countries, in 2017, the share of the mobile working population of the European Union grew to 3.8 percent. Increasing the mobility of European workers is the result of two factors, states CEPS. The first is the enlargement of the EU to the east having occurred in two waves, and mobility has increased much more, especially after the accession of Romania and Bulgaria to the EU back in 2007. Apart from the east-west direction, recent years have seen more labour force mobility from the southern EU member states to the north, due to debt crisis and unemployment growth.

The latest data referenced by CEPS shows that Romania, Lithuania and Croatia have the highest share of workforce abroad, far above the European average. Nearly 20 percent of Romanian citizens earn their money in other EU member states, in Lithuania it is 14.8 percent, and in Croatia, 13.9 percent. For Croatian economists, such data doesn't really come as a surprise.

"Increasing emigration over the last few years was expected, and the experience of other new EU member states has shown that after EU accession and the labour market opening, emigration strongly increased, and in Croatia, the problem of emigration is further underlined by weak [domestic] economic indicators.

Croatia had one of the longest recessions in Europe, lasting six years in total. At the same time, even after recovery began, the growth dynamics remained insufficient in bringing Croatia closer to the EU's economic growth. Today, Croatia, after Bulgaria, is the least developed country,'' says OTP banka's economist Zdeslav Šantić.

"The accelerated outflow of the working-age population is particularly evident with the opening up of [Croatia's access to] the single European market since 2013, which was further strengthened by the deep recession in Croatia. However, with the exit from the migrant crisis, emigration from Croatia, especially among the working-age population, has not diminished but accelerated. Migration motives can be different - from differences in incomes, to employment opportunities, to structural factors,'' emphasised Zrinka Živković Matijević, an analyst from RBA.

"The very last factors - a weak institutional environment and (unfavourable) expectations of future economic prosperity (quality of education, satisfaction and trust in politics, future opportunities for generations to come) - are the most common motives for migration of citizens of a particular state who have a higher level of education. In that context, it isn't surprising that the countries which the most emigration are those with the lowest social progress index.

Regarding the convergence of wages, the fact is that at the very beginning of the transition process, Croatia had a high exchange rate, ie, a higher level of wage adjustment with the EU compared to other new members, following only Slovenia, the RBA analyst said.

"Meanwhile, the pace of wage growth and the standard of measured purchasing power parity in other countries has increased considerably since 2004, while GDP measured by the purchasing power parity in relation to the EU 28 average remains at approximately the same level (around 60 percent of the EU average), stagnant or comparatively behind,'' explained Živković Matijević.

Unfortunately, in Croatia, the problem of emigration is not a consequence of current economic trends, Šantić added, saying that the high perception of corruption and nepotism, inefficient state institutions, the huge importance the state carries in overall economic trends and the lack of transparency in the public sector further encourage young people to leave.

"When talking about the emigration of young people, it's worth mentioning that there's a lack of a housing care strategy. There's no regulated rental market yet, but young people have only the option of buying property through multi-year borrowing, and government measures are aimed solely at boosting property purchases,''

An interesting detail in the CEPS survey is the share of faculty-educated mobile workers. Although the usual theory often claims that those who find it the "easiest to leave'' are the highly educated, research shows that this is not the case, especially in the case of new EU members such as Croatia.

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

As SibenikIN writes on the 13th of April, 2019, Croats have taken yet another EU record, and it isn't the most encouraging one economy-wise. This time, Croatia has taken the crown when it comes to the age until which young people continue to live with their parents, Eurostat's data shows.

The only country in which young people leave the parental nest later than Croatia is Malta. While Maltese youth tend to leave the parental home at 32.2 years of age on average, the average is 31.9 years old in Croatia, according to Eurostat's data on the matter.

In comparison, in Sweden, the average age at which people leave the parental home is 21 years old, in Denmark it is 21.1 years old, Luxembourg id 21.4 years old, and in Finland, people tend to leave at around 21.9 years old. At the other end of the scale, after Malta and Croatia, come Slovakia (30.8 years old), Italy (30.1 years old), Greece (29.4 old), and Spain (29.3 years old), reports Index.

While this is immediately rather discouraging generally, in Croatia, however, the situation has slightly improved compared to how the situation was back in 2015, when the country took first place, and Malta came second. Back then, the average age that Croats left the parental home was 31.4 years old, and for the Maltese, 31.1 years old. A map of the European Union, published by Eurostat, also clearly shows that at least in this respect, Croatia is at the forefront of the EU - just where it shouldn't be.

According to Eurostat data for 2016, more than half (58.7 percent) of young Croats aged between 25 and 34 were still living with their parents, putting Croatia in first place for this statistic. The average at the EU level is only 28.5 percent, twice as low as it is in Croatia, reports Index.

The Nordic countries which are part of the EU have done the best by far in this respect: Denmark (3.8 percent), Finland (4.3 percent) and Sweden (6 percent). After Croatia come Slovakia (55.5 percent), Greece (55 percent), Malta (51.5 percent) and Italy (48.9 percent), at the extreme opposite end of the scale.

Eurostat also found that in each EU member state, females tend to move out of their parental homes earlier than males do. The biggest gender difference was recorded in Romania, where the age for women is 25.6, and 30.3 years for men. The second is Bulgaria with 26.5 for women and 31.1 for men, while Croatia is once again very close to the top, in third place: the average age for leaving Croatia is 30.4 years of age for Croatian women, and 33.4 years of age for Croatian men.

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As the Chinese show greater interest in various Croatian strategic projects, the EU and the EC become more and more uneasy at the thought of such a heavy Chinese business presence in Croatia. As the EC changes its attitude towards some Croatian projects to which it reacted negatively in the past, has the Chinese influence rendered this change of heart senseless?

As Novac/Kresimir Zabec writes on the 13th of April, 2019, Croatia wants to finance the construction of the railway line from Karlovac to Rijeka, covering a length of 170 kilometres with EU funds, because that's more favourable to Croatia than doing it through a concession, stated Croatian Minister of Transport Oleg Butković at the construction site of Pelješac bridge recently.

Ironically much like Chinese whispers, it began to circulate in the media that everything had already been agreed with the Chinese, and that China's CRBC which is already building Pelješac bridge would construct the railway line via a concession model. Economy Minister Darko Horvat has thus announced giving the Chinese company a fifty year concession. However, Butković has very clearly stated that there has been absolutely no direct agreement with the Chinese and that everything will go through a tender, as usual.

''If we decide on a concession tender, then Chinese companies can also apply. If the line is built using EU funds, Chinese companies will be able to bid to be the contractors for the project,'' said Butković.

EU funding for the project is much more favourable for Croatia because it doesn't affect the growth of public debt. Should the case result in giving a concession to a Chinese company, they would build and finance it, but with government guarantees amounting to 1.7 billion euros, which is something the state can ill afford. According to current projections, the entire line should be completed by 2030.

Of the 270 kilometre of railway line from Botovo on the Croatian-Hungarian border, to Rijeka on the shores of the Northern Adriatic, the section from Karlovac to Rijeka is currently not covered at all by any form of EU co-financing.

A few years ago, the European Commission told the Croatian Government quite clearly that they would not finance that part of the line from Karlovac to Rijeka because it was too expensive and it just doesn't pay off. After that, the Croatian Government turned to the Chinese who were constantly showing interest in constructing that section. Now that the negotiations between China and Croatia have entered a much deeper and more serious phase, signals from Brussels, more specifically the European Commission, have been arriving which indicate that they are, despite all, still interested in the project.

Although that railway line is not officially part of the trans-European transport network, senior officials of the European Commission's Directorate General for Transport have openly told reporters that the Commission is ready to co-finance this project, and that it is a very important part of the European budget planning in the period commencing in 2021. Quite a turnaround, no?

In addition, this railway line is part of the line from Rijeka to the Hungarian border, which the European Commission has invested around 400 million euros into the modernisation and construction of, and that obviously doesn't quite sit well with the idea of the entrance of the Chinese into this project. According to statements, the ultimate goal of the overall project is to build a new bridge to the island of Krk and to build a new port on the island for container transport, which is an idea that the Chinese are also very interested in.

What stage are the works in?

Rijeka - Zagreb

The railway line from Rijeka tp Zagreb to the Hungarian border is part of the international Mediterranean Corridor connecting southern Europe with Central and Eastern Europe. The modernisation of this line would be of great importance to the Port of Rijeka. The modernisation and the construction of these lines are all in different stages of execution.

Botovo - Koprivnica - Križevci

In 2016, the European Commission approved 240 million euro for Croatia to build this section, but the contractor for the job hasn't yet been selected. A tender is in progress, but it has been stopped once again due to an appeal lodged by an Italian company.

Križevci - Dugo Selo

This is the only section of the track where works are ongoing. The European Union has invested about 180 million euros in this project, but works began a year and a half late because of contractor issues.

Hrvatski Leskovac - Karlovac

The design of this part of the line was co-financed by the EU in the amount of about 6 million euros. It is expected that tenders will be announced to modernise the existing works and build another track. The value of the works is estimated at 315 million euros and is planned to be funded through EU funds.

Karlovac - Oštarije

An entirely new two-track railway would be constructed on this part of the track, and the value of the works would be estimated at about 400 million euros. Project documentation has been produced, which has been paid for by the EU in the amount of 9 million euros.

Oštarije - Škrljevo

This, which is considered to be the most challenging part of the line, hasn't yet been fully defined, and technical documentation is being prepared by the EU, for which it has paid nearly 6 million euros. The value of the works on this section is estimated at as much as one billion euros.

Škrljevo - Rijeka - Jurdani

Project documentation was produced by the EU at a cost of 8.5 million euros. The value of the works is estimated at 270 million euros in total.

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Click here for the original article by Kresimir Zabec for Novac/Jutarnji

As Morski writes on the 11th of April, 2019, Pag salt (Paška sol) has received protection at the EU level. This information has now been published officially and Pag salt has been entered into the register of Protected Geographical Indications (EU PGI), and Pag salt has earned its sought-after protection status throughout the European Union.

"Pag salt'' is sea salt obtained directly from the seawater of Pag bay, its shape that of small cubic crystal structures that are white in colour and contain minerals and trace elements. Most of the crystals are up to 1 mm in size, so 98 percent of all of the salt crystals manage to pass through a sieve with a mesh size of 1.3 mm. It has a concentrated salty taste without any bitterness.

The seawater from the bay of Pag is extremely clean and well-filtered because the bottom of Pag bay, from which it is obtained, is highly rich in shells which act as natural purifiers of the sea, meaning the seawater in that area has very low values ​​of heavy metals, which are at considerably lower levels than the average value of rest of the Mediterranean sea. In addition to that, Pag bay is located far from any areas in which industrial works are carried out, meaning that the sea is even more pure.

Croatia boasts a long and very rich tradition of production and preparation of various agricultural and food products that are characterised by certain special, unique qualities and traditional production methods, and now finally Pag's much loved salt has earned its protection at the highest level.

Although the Republic of Croatia is still the youngest member state of the European Union, it can be extremely proud of itself as it now has 22 different agricultural and food products with names that are now protected at the European Union level, either in the sense of having a protected destination of origin, or having a protected geographical indication. The EU currently has three such schemes which work to protect the names of quality agricultural products and foodstuffs.

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As Poslovni Dnevnik writes on the 11th of April, 2019, in terms of the use of EU funds, the Republic of Croatia has a total of 10.7 billion euros available to it, and at this moment in time, 66 percent of allocations have been contracted, almost 85 percent of the tenders have been announced, while 21 percent of the funds have been disbursed to their respective beneficiaries.

As one of the members of the European Union, Croatia has paid 19.7 billion kuna into the EU's joint budget since its accession back in the summer of 2013. The Republic of Croatia has since received 34.1 billion kuna in the same period, resulting in a welcome plus of 14.4 billion kuna, the Ministry of Regional Development and EU Funds stated.

''With the faster and better absorption of EU funds available, this difference will continue to grow. At present, more than 80 percent of all public investments and 8,306 private companies in Croatia are funded by the European Union's non-refundable funds,'' the aforementioned ministry added in its recent press release.

For the purpose of achieving economic and social growth and the development of Croatia at all levels, the financing of large infrastructure projects in the areas of transport, health, science, entrepreneurship, environmental protection [have taken place], such as the construction of Pelješac bridge, currently the largest and most important project in Croatia, the upgrading of Dubrovnik Airport, the upgrading and the electrification of the existing Vinkovci-Vukovar railway line which is of significance for international traffic, the modernisation of tram infrastructure in Osijek, investment, the equipping and reconstruction of hospitals and health centres, the construction of computer and data clouds, the research and education centre for health and medical ecology and radiation protection, the construction and renovation of student homes, the construction of business zones, the management centre for Krka National Park, the Vučedol archaeological park, etc...

''Since joining the European Union, the general economic trends in Croatia show that they're going in a positive direction: the increase in gross domestic product (GDP); the reduction of unemployment; the growth of exports, especially in the European Union, as a result of Croatia's free access to the EU's single market which consists of 500 million inhabitants.

The stable environment within the EU also favours the development of tourism as an extremely important economic branch [for Croatia]. With regard to fiscal policy, a major step forward has been made, and significant efforts have been made in the field of public finances, while trends that have been extremely unfavourable have also been reversed, along with the many opportunities that are offered by EU funds,'' the ministry said in its statement.

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Croatia's employment issues are somewhat perplexing to many, and although there has apparently been a massive drop in unemployment, there's only been a very slight jump in those registering as newly employed. The maths doesn't always really add up, but unfortunately the demographic picture of the country explains it all.

As Jadranka Dozan/Poslovni Dnevnik writes on the 10th of April, 2019, at this time of year, official data on employment levels tends to heavily reflect the huge levels of seasonality Croatia's labour market is affected by with every passing year, of course, this is primarily owing to the increased employment levels of seasonal workers before the start of the main tourist season in summer. The latest figures from HZMO (Croatian Pension Insurance Fund) from March show some growth in the number of insured persons, both on a monthly and an annual basis, with positive annual rates having continued to some degree or another since March 2015, while monthly growth began in only in February, according to analysts from Raiffeisen Bank (RBA).

Last month, the number of insured persons increased by 14,000, to a total of 1.52 million people, and it is realistic to expect that the number of insured persons will increase even more owing to the opening up of seasonal positions in preparation for the tourist season, an economic trend which could easily continue until September. When compared to March last year, the number of insured persons more than 32,000 or 2.2 percent higher.

Along with the pretty positive indicators from HZMO's labour market information, the Croatian Bureau of Statistic's labour force surveys are more in line with the process of the huge problem of the mass emigration of Croatia's fit, healthy, working-age population and the demographic of an aging general population. The latest survey, in which the last quarter of 2018 was included, indicates an annual drop in Croatia's working-age population from 3.54 to 3.52 million.

Those who are economically active in Croatia, whether they're already working or actively looking for a job, numbered just 1.8 million at the end of 2018, which is 42,000 people or 2.3 percent less than the year before. Despite the positive economic data, the activity rate dropped from 52 to 51 percent. Activity and employment rates have, at least for some time now, been indicative of much more than just the general rate of unemployment. This applies in particular to activities that are needed in more economically developed EU countries, and jobs that tend to be given to (highly) skilled staff.

Economists have been warning for a long time that recent developments in reduce the potential for growth in Croatia in the long term. The number of unemployed people in Croatia in the last quarter of the year, according to the results of the survey conducted in the last quarter of 2018, dropped when compared to the previous year by 46,000 people, or 23 percent, to 154,000 people. At the same time, however, the number of employees increased only very slightly, by 0.3 percent, meaning just 5,000 people more, to 1.64 million. In the fourth quarter, the activity rate and the employment rate recorded lower values ​​(51 percent and 46.6 percent), according to RBA.

In the last quarter of 2018, the numbers of economically inactive people older than fifteen increased by just one percent. Finally, the year ended with the fall of Croatia's unemployment rate to 8.3 percent, which is also the first drop below 10 percent since 2009, the year which followed the 2008 recession, but unfortunately this is partly a consequence of Croatia's negative demographic trend.

Although Croatia's growth in employment is of course very encouraging, analysts warn that it should be noted that the number of employees has been growing at a mild rate for the last five years, and that the average number of employees is still 6.5 percent lower than in before the crisis back in 2008. Overall, they conclude, Croatia's labour market remains very fragile and is burdened with some extremely serious structural problems, especially in terms of the total mismatch of supply and demand, long-term unemployment, and the falling number of working-age people for the ninth year in a row.

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

As Poslovni Dnevnik writes on the 9th of April, 2019, more than sixty meetings with investors were held by five Croatian and three Slovenian issuers as the Zagreb and Ljubljana stock exchanges presented their markets and issuers in New York on Monday, at the second largest international stock market - Nasdaqu, in cooperation with the Auerbach Grayson investment company and with a very good response from American investors, as the Zagreb Stock Exchange announced on Tuesday.

Although the Zagreb and Ljubljana stock exchanges have repeatedly presented their markets and issuers at local and regional investment conferences and on other similar occasions, this was the first time that such an event was organised outside of Europe, the statement said.

With the management bodies of both the Zagreb and the Ljubljana stock exchanges, investors were introduced to the Croatian companies AD Plastik, Arena Hospitality Group, Atlantic Group, Podravka and Valamar Riviera, as well as the Slovenian companies Krka, Petrol and Triglav Group. The Croatian investment association, Intercapital, presented the Croatian and Slovenian market and its potential, and, as previously mentioned, the companies held more than sixty individual meetings with US investors.

"For the first time in the history of the Zagreb Stock Exchange, we're organising the presentation of our most prominent issuers who have voluntarily accepted the highest standards of corporate governance and reporting to US investors.

We are very pleased with the level of interest and we hope that acquainting US investors with our companies and the potential of our regional market will result in their interest in investing in Croatian and Slovenian companies,'' said the director of the Zagreb Stock Exchange, Ivan Gažić, the president of AD Plastik, Marinko Došen, added that he hopes that the New York presentation will help attract new investors to Croatia.

"We support all the activities of the [Zagreb] exchange, which will enable us to revive the Croatian capital market with joint forces, we're pleased with the level of interest of American investors in AD Plastik, and I believe that the potential of our shares and business will be recognised on that market as well,'' Došen stated.

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As Morski writes on the 3rd of April, 2019, what has been happening with prosciutto for the past three to four years is truly spectacular. Due to its superior properties and specific traditional production technology, Croatian prosciutto producers have stumbled upon some great export potential and even more potential for the product's better placement in Croatian tourism through the country's already rich gastronomic offer.

When compared to five years ago in 2014, exports have increased in quantity by fourteen times, and perhaps most importantly, in value eleven times. Approximately 88 percent of total exports go to the EU market, and just over eleven percent go to CEFTA countries.

''The latest 2018 statistics show an increase in exports of shank and aitchbone products by nearly sixty percent, but unfortunately, we still don't even cover a third of imports. We need new investments and we need to invest in new prosciutto production capacities to double our production, and 700,000 pieces annually to at least meet the needs of the domestic market,'' said Dragan Kovačević, vice president of the Croatian Chamber of Economy for Agriculture and Tourism, at a press conference announcing the event Days of Croatian Prosciutto.

Ante Madir, Executive Director of the "Hrvatsko pršuta" (Croatian prosciutto) cluster, which brings together producers responsible for 95 percent of the total prosciutto production in the Republic of Croatia, explained more precisely what awaits Croatia on the fifth Days of Croatian prosciutto, which is being held from the 26th to the 27th of April at the Zagreb International Hotel this year.

''On the first day, we'll have a manifestation with round tables and workshops, the expert part of the gathering, and the second day at Ban Jelačić Square, there'll be a show-selling part where people can taste our prosciutto,'' Madir said, adding that they decided on Zagreb because quite a large market and a high demand for the product can be found in the Croatian capital.

"What's been happening with prosciutto over the past three to four years is truly spectacular. The signs of protection (special labels) are our tickets to the wider European Union market, that's very important for being able to [have our products] arrive to shop shelves. In Croatia, we still need to work on presenting [our products] to consumers to have them pay more money for something which is domestic and specific,'' said Igor Miljak, chairman of the PPK Karlovac meat industry, stressing that Croatia still doesn't have key gastro brands that are recognised on the European or global market, but it definitely does have the quality to be able to cope well with the competition.

Ana Babić from Voštane pršut, a representative of the Association of Dalmatian Prosciutto, explained the difference between Dalmatian and Istrian, or more specifically Krk prosciutto.

''Dalmatian prosciutto is smoked, while Istrian and Krk prosciutto isn't. There are no additives or preservatives in its production, and the process itself lasts for at least a year,'' Babić explained, adding that the tradition of Dalmatian prosciutto production draws its roots from as far back as ancient Roman times.

Drago Pletikosa of Belcrotrade and the president of the Association of Drniš pršut stressed that Drniš prosciutto is a little and is therefore certified, although there is no difference between Drniš and Dalmatian prosciutto when it comes to the production process itself.

''Last year, we imported 3,848 tons of products worth more than 21.5 million euros and exported 1.113 tons (6.5 million euros). Compared to 2014, exports have increased in quantity fourteen times, and by value eleven times. Approximately 88 percent of our total exports go to the EU market, and just over eleven percent go to CEFTA countries. We export the most to Slovenia (35.5 percent of total exports) and to Italy (28.1 percent),'' stated Pletikosa.

''This event brings together and promotes prosciutto producers from all over the country, whose products are protected by a stamp of designation of origin, and labels of geographical origin (Krk, Dalmatian and Drniš prosciutto) at the EU level,'' stated the Croatian Chamber of Commerce (HGK).

Quality labels for consumers guarantee the purchase of authentic and properly controlled products, with recognised quality and a local origin. Protecting products without educating consumers and business partners about its proper valuation has no great benefit. Therefore, this event contributes to the strengthening of the recognisability of these Croatian meat products with higher added value and a better market positioning, all with the aim of developing the wider Croatian economy.

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As Adriano Milovan/Novac writes on the 2nd of April, 2019, the economic expansion period for most of the transition countries, including the Republic of Croatia, is now over, and in the coming years we can count only on very modest rates of economic growth, this was the message from experts from the renowned Vienna Institute for International Economics Studies (WIIW).

According to the latest forecasts of the Vienna Institute, this year, Croatia can expect a growth rate of 2.6 percent. However, in the coming years, economic growth will slow down even more, meaning that the Croatian economy will likely grow at a rate of 2.5 percent in 2020 and again in 2021. Although the GDP growth rate of 2.5 percent doesn't deviate much from the previous growth rates in Croatia, given that they were still less than in other comparable countries of the so-called "New Europe", it's worth noting that this rate is still less than was previously expected.

Additionally, and more concerningly yet, the Republic of Croatia will be among the new EU member states with the lowest rates of economic growth of all. On the other hand, the fastest growing economies among transition countries will rather surprisingly be non-EU European countries, such as Kosovo and Albania and even more surprisingly, Moldova, at least according to an analysis taken by the esteemed Vienna Institute. According to these forecasts, Kosovo's economy, for example, was to grow at a rate of 4.1 percent this year, in the following year at a rate of four percent, and in 2021, at a rate of 3.9 percent.

In their forecasts, the analysts of the Vienna Institute cited the slowdown of economic growth in the world as a whole, especially in Germany, and the strengthening of protectionism in world trade and uncertainty brought about by Brexit (should it occur at all), as among the main reasons for the ''cooling'' of the transition economies.

Openly, however, the question remains about how the current crisis in Uljanik will reflect on the Croatian economy as a whole. Vladimir Gligorov, a longtime analyst at the Vienna Institute and now an external associate, says the events in Uljanik will have negative effects on the Croatian economy in the short term, primarily through the activation of state guarantees and the cost of dealing with former workers who will be left jobless, but in the medium term, it shouldn't actually reflect all that much on the macroeconomic image of the country that significantly.

The attitudes of Croatian macroeconomists, Zeljko Lovrinčević from the Zagreb Institute of Economics and Zdeslav Šantić, the chief economist of OTP banka, don't differ significantly from the above statement from the Vienna Institute, and they also don't expect huge consequences on the Croatian economy from the collapse of Uljanik. Moreover, Lovrinčević believes that the first half of this year could be even better for Croatia than expected, whereas we will likely only feel a slight slowdown in the second half of this year and next year.

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Click here for the original article by Adriano Milovan for Novac/Jutarnji

Along with the current works on the renovation of the Senj harbour, the Senj Port Authority has begun to develop projects for the extension of Senj's port, so that the breakwaters can be lengthened.

As Morski writes on the 2nd of April, 2019, the Điga breakwater, more specifically the Sv. Marija breakwater, would be extended by a further one hundred metres, adjusted to the length of Jadrolinija's ferries, and the Hungarian riva (waterfront), would be extended by another thirty metres. The construction of a brand new waterfront instead of Senj's current wooden waterfront would add another pier to the southernmost part of the harbour, opposite to Tičak house. According to the conceptual solution which has been drawn up for the project, this operation would cost around 110 million kuna net, and VAT still needs to be added to that figure, Novi list writes.

An assessment on the environmental impact for this project has already been prepared, which is already in process at the Ministry of Environmental Protection, and after the release of the competent ministry's observations, what further steps which need to be taken will be known, eventually followed by the issuance of the required building permits.

''Breakwaters can be co-funded from EU funds and we've already asked for this and have received a firm opinion on it, and internal arrangements such as the 300 new communal berths can be funded from national funds and from the Port Authority's budget,'' said Senj's port authority director Predrag Dešić, adding that with the realisation of this project, Senj's port would boast much greater functionality.

In the port part of the Hungarian waterfront, the conditions for accommodating tourist ships and smaller cruisers would be created, which would substantially restore the basic role of the harbour, while ferries to nearby islands and liner ships would have their place at Điga. After this extension, Senj could be a significant port for tourists from Istria and from the islands, such as Lošinj and Cres, who would like to visit Plitvice Lakes because a combination by sea to Senj and buses to Plitvice would shorten their journey by about two hours, make it much more enjoyable, and the actual visit to Plitvice would last longer. This is a very desirable combination, given that road traffic, especially in the summer, is slow and cumbersome.

New funding in the amount of three million kuna, approved by the Ministry of Maritime Affairs, Transport and Infrastructure for the Senj Port Authority this year, will be intended for the repair of the main harbour, which is essentially a continuation of the works on the current project of renovating Senj harbour as a whole.

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Click here for the original article by Dorotea Prpic for Novi list