Concrete steps are being made to better acquaint Croatia's students with the importance of knowledge about EU projects, knowledge which will be advantageous on the labour market.

As Lucija Spiljak/Poslovni Dnevnik writes on the 27th of January, 2019, representatives of the Ministry of Regional Development and EU Funds and the Faculty of Economics of the University of Zagreb signed a cooperation agreement worth three million kuna, which will enable students to acquire skills and knowledge in the field of EU funds for professional practice.

This is a project that has been being discussed in the aforementioned ministry for a long time, and now partnerships through signing this contract have been formalised by the dean of this higher education institution, Jurica Pavičić, and Minister of Regional Development and EU Funds, Gabrijela Žalac. Another partner of the project is the Department of Economics of the University of Zadar, whose representatives will subsequently sign the same contract.

"It's a great pleasure for our students to have the opportunity to improve themselves in something that is important for them, their careers, and to their future employers. Students have recognised the importance of knowledge about EU funds and have shown great interest in this area, aware that this will be an important component when they go out to look for a job. We're glad that we've partnered with the Ministry and that the University of Zadar is ready to join in with this project,'' said the Dean.

The cooperation agreement also concerns the strengthening of the Regional Development Academy, which has been in existence for many years within the ministry and cooperates with the University of Zagreb and faculties at the project level, in the interest of enhancing cooperation on the issue of student education, which is the backbone of regional development and the management of EU structural and investment funds.

"We want to strengthen our capacities at all levels so that through the professional knowledge and mentoring of our people in the Ministry of Economics, students from Zagreb and Zadar are able to train for the labour market. Our students have a decisive role in the dynamics of fundraising and the socio-economic progress of the coming period. The aim is to build a strategic partnership with healthcare institutions in the Republic of Croatia. We've been a full member of the EU for five and a half years and I think it's now time to allow students to acquire knowledge and skills in the area of ​​EU funds management and their use,'' said the minister, adding that European structural and investment funds make up 80 percent of public investments in the Republic of Croatia.

"Since we're the youngest member state of the EU, we're still at the beginning. This seven-year financial period, when we'll use European funds for the very first time, will certainly be a great experience for what follows in 2021,'' said Žalac, mentioning that MRRFEU and the Central Finance and Contracting Agency for EU Programs and Projects conducted research with results which show that there are 2700 experts missing in Croatia for the field of implementing EU projects.

"Therefore, we'd like to enable our students of economic orientation to provide professional practice with the help of EU funds, to provide new useful facilities for building a business career, with additional values ​​that strengthen their competence on the labour market," added Minister Žalac before thanking everyone who participated in the implementation process of this project.

Make sure to follow our dedicated politics page for more information on EU projects and much more.

Click here for the original article by Lucija Spiljak for Poslovni Dnevnik

Vlaho Orepić has seen his fair share of political alterations in Croatia, from becoming minister of the interior during Tihomir Orešković's government, to being shockingly dismissed by Andrej Plenković, to stepping down as an MP for MOST, one of the partners of the former ruling coalition, eventually breaking away entirely and forming a new party of his own - Nova Politika.

Known for not only his position as the minister of the interior, but for his achievements in the sporting world and his political activities in his beloved town of Ploče, Konavle-born Orepić sat down with us to discuss the past, the present, and the future, including his new party.

Why did you decide to set up a brand new political party? What values ​​does it, and you, represent?

Through the experiences I gained through my civic activism, and then through my direct participation in the work of the Government and the Parliament of Croatia I realised that politics in Croatia is not what should be expected of it. It doesn't do the work of the people. On the contrary, all the policies of the past have disrupted the [lives of the] Croatian people, and has impoverished the Croatian economy.

So, we need something new, that is Nova Politika, which will be what people expect it to be, and that means working for the people. This need, this message, and these values ​​are contained in the idea and the very name Nova Politika.

How will your party differ from the countless others who are already operating in Croatia?

We simply need order in the country, as well as in political and social relations because we as a country aren't in a crisis, but we are in disorder. The basic two goals of Nova Politika are the protection of democratic principles and procedures in political relations and the institutional arrangement, as well as the optimisation of the state. Nova Politika as a party is, unlike others, a project. A project of getting together with the aim of institutional convergence from the current disorder putting the country in order.

There are many challenges which require ambitious structural reforms, so new, life-motivated policies are needed.

First and foremost, what we're going to invest a huge amount of energy into is the struggle for the legitimacy of elections. The outcomes of the entire series of electoral processes in Croatia are crucially influenced by the voices of those who have filed a false residence in the Republic of Croatia, and as such gain a whole range of substantive rights, as well as voting rights. In its electoral register, Croatia has at least 150,000 such fictional voters. Parliament has a minimum of 4-6 parliamentarians who base their mandate on those fictional voters. That's been going on for far too long and it needs to stop.

Why did not you take advantage of this opportunity and as the minister of the interior, solve this problem?

I didn't manage to. They dismissed me. I believe that you're familiar with the fact that I uncompromisingly tried to solve this problem. In just two and a half months, the police, to whom the law prescribed that obligation, prompted the deletion of 45,000 fictional residences. Very rapidly this figure has grown to 75,000. This issue, because of political incitement and abuse, is an exceptional problem in our society.

What is especially disturbing is that this is intractable abuse and a kind of blackmail of people in need. People who, because of realistic, existential problems, engage in illegal behavior such as the fictitious reporting of residence in the Republic of Croatia. The Republic of Croatia should systematically and legally care about its emigrants and not just keep tolerating this crime.

You've endured huge political resistance to this engagement of yours and even personal discreditation. Judging from your findings, which parties have encouraged fictitious voters to participate in the elections in the Republic of Croatia?

Fictitious voters' transport from Serbia and Bosnia and Herzegovina was organised by the HDZ, SDSS and even MOST, which was concealing it from me as its minister. Even the activists engaged in the recent referendum initiatives have also collected signatures in the territory of Bosnia and Herzegovina. During the pre-election campaign for local elections in Vrgorac, HDZ had a poster with a cross marked over my face which they stuck in neighbouring places and cities in western Herzegovina. With which they called "their" fictional voters to come to the elections.

But that doesn't matter anymore. It's important to realise the magnitude of this problem and to get credible electoral registers as soon as possible in order to guarantee the legality of elections in the Republic of Croatia. We need to get that in order. To move forward, we need to be able to count the results of the elections to match the real will of the citizens. That's Nova Politika.

Will someone who is already active in political or public life enter your party? Maybe one of the members of MOST? 

I hope we'll all be able get together around the goal as Nova Politika is focused on its political goal, and all those who see Croatia as a decent and well-regulated state are welcome. Let's say that proper order in the area of [registering] ​​residence should be the target of everyone who wishes our homeland well.  This is what I expect especially from those who ran their election campaigns based on fictional voters and who claim they're sovereign.

Will you participate in the forthcoming European Parliament elections, and will you have your candidate for the president of the Republic of Croatia?

The focus is on parliamentary elections. But Nova Politika partaking either alone or in cooperation with someone else in all the upcoming elections hasn't been ruled out.

What's your opinion on the work of current President Kolinda Grabar-Kitarović. Will you back her for a second term?

She failed to portray herself as the president of all citizens. We definitely need a new president.

At the moment, the most current issue is the collapse of an Israeli jet plane purchase. Do you think Croatia needs war planes? If so, how much money would you be willing to invest in their purchase?

We don't need to call the need for war planes into question. But what we need to take into account is our financial situation. At this point, we have no money for that. We have a whole series of challenges that are related to our bare existence. We must take into account the life priorities that hav arisen from the situation in which we're in and live within our means. Aircraft, at this time, aren't something we can afford and aren't a priority.

MOST has been looking like a conservative party recently, more and more. Do you share such a vision? If not, why were you in that party at all?

I don't share the current worldview of MOST, which is significantly different from the one they were trying to show, and which dominated while I was in MOST. The leaders of MOST have repositioned MOST within the frameworks of their own personal worldviews. It isn't mature, and it is a type of conflict politics, this is a political environment which I can't identify with.

Why did you leave MOST?

MOST as a party abandoned the very idea of ​​MOST, so I left MOST.

In two HDZ-MOST coalition governments, you were the interior minister. Would you enter into a coalition with HDZ again? Will you remain in the Parliament as an opposition representative until the end of your mandate or does a possibility for you to support the current government exist?

I'm going to remain an opposition MP.

Which parties would you potentially enter into a coalition with?

With this very question you've addressed a big problem in the functioning of politics in the Republic of Croatia. Nobody asks you what your suggestions are. What are your political goals, etc. People are already accepting or rejecting you on the basis of your ideological orientation. This approach to politics is wrong and that's why we need Nova Politika. A policy that highlights clear goals and their implementation brings together the necessary majority. We need to evolve current politics into realistic politics. Politics that can and should be measurable. Politics which will be conditioned by the mutual interaction of the principles of trust and responsibility.

Davor Božinović succeeded you as the minister of the interior. How do you evaluate his work?

He's completely unambiguous in his approach in these circumstances we're in and his root changes make him look superficial. Manipulation with fictitious residences and some staffing solutions paralysed the operational work of the police and indicated a lack of workability. He acts unambiguously because he has no ambition and therefore no actual results.

What do you think about the Croatian police's treatment in relation to migrants on the border with Bosnia and Herzegovina? Does the behavior of the police differ now than from when you were minister?

The migrant policy of Croatia, of which a lot is dealt with by the police I consider to be good. The work on the frontier is on the line of the one that was designed and established during my mandate. There is no leg room when it comes to illegal border crossings but there's also a very human approach when it comes to caring for people in need. Some isolated failures in treatment can't diminish the significance of the police work done.

When talking about migration policy, every day Croatia that it is a responsible member of the EU, because don't forget that the Croatian police, in protecting the borders of the Republic of Croatia, are also working to protect the EU's external borders.

Make sure to follow our dedicated politics page for more.

Theresa May's withdrawal agreement with the European Union suffered a historic defeat recently. The British prime minister had delayed the vote which was due to take place back in December 2018 when she realised she was set to suffer the aforementioned historic defeat. Why she thought simply delaying the inevitable was a good idea is beyond me, but so is the entire notion of Brexit itself.

My political views aside, let's get to the point of this article. Point number one is that the article I wrote a while ago about what Theresa May's former withdrawal agreement means for British citizens living in Croatia is now likely void for the most part. We all love wasting our time, don't we?

The second point is that you don't need to worry about anything, well, no more than you would already anyway. You may have noticed that many EU countries have publicly declared their plans for making sure British citizens don't become Brexit's collateral damage (anymore than already, that is), and don't fall victim to the United Kingdom's bizarre desire to enact Brexit and leave the world's largest trading bloc. You're likely wondering why Croatia hasn't done so yet, at least not publicly. As Lance Corporal Jack Jones would have said: Don't panic.

Belgium, Italy, Germany, Spain and the Netherlands are just some of the EU countries to have come forward and assured Brits living and working in their countries that plans are firmly in place to make sure their lives go on undisrupted by this utter mess. That's a little too late for many after years of inexcusable limbo, but it's very welcome for many nonetheless.

But what about other countries, you might ask? What of, let's say, Romania? Romania has been eerily quiet on the matter despite having been given assurances that Romanian citizens living and working in the United Kingdom will remain protected and have their rights enshrined into UK law regardless of the Brexit outcome. The same assurances, with all due respect to Britain, have been given repeatedly to all other EU citizens legally residing in Britain. A new system has been set up which promises to be simple and as recent announcements have confirmed - totally free.

The UK has dropped its former demand for £65 for ''settled'' and ''pre-settled'' status after listening to the concerns of many, and EU citizens in the UK now have a very clear way of securing their rights before June 2021. The UK hasn't done much right since the non-binding referendum delivered a shock Leave result, but in making sure to put citizens and their acquired EU treaty rights first, it has been firm.

Everyone knows Croatia likes to drag its heels. It doesn't mean anything bad by it really, that's just what it does. That being said, it will gladly bow to whatever the EU asks of it, but in its own time. What do I mean by this? Well, to put it simply, MUP (Croatian Ministry of the Interior) has stated when asked (probably repeatedly) by Balkan Insight that there will be ''special rules'' in place for British citizens who have legal residence (biometric permit) in Croatia.

As Balkan Insight writes on the 22nd of January, 2019: ''The Interior Ministry in Croatia, which joined the EU in 2013, told BIRN that “special rules will be applied UK citizens who, on March 29, 2019, have regulated status of foreigner in the Republic of Croatia, which will allow [them] to maintain the right of residence.” But the ministry said it was “still developing in details the modalities of residence” of British citizens in Croatia after Brexit and how new documents would be issued.

The goal, it said, would be to allow British citizens and their families who have regulated status continued access, without restrictions, to the Croatian labour market. According to official data, currently 659 British citizens have regulated status in Croatia – 277 permanent residents and 382 with temporary residence.

The British embassy in Zagreb said it expected Croatia to reciprocate the commitment London made with regards the rights of citizens from the EU residing in Britain in the event of a no-deal scenario.''

So, what does this actually mean? It means that British citizens in Croatia can expect forthcoming reassurances like those which have been provided by a growing number of EU countries about their status, but the details must be finalised first. MUP knows it needs to do something. In any case, with assurances pouring in from other EU countries confirming the legal residence status of British citizens living in their countries, Croatia is sure to follow, just in its own time. Ever the lover of red tape and miraculously turning one sheet of paper into ten, it shouldn't come as a surprise that Croatia is dragging its heels. 

In any case, although the majority of what I wrote in my last article is now void (cheers, Theresa), what remains to be true is that as long as you hold a residence card and are known by the system, you don't need to worry.

You can apply for permanent residence when you've reached five years as you normally would for now, and if you're nowhere near that five year mark yet, just make sure you're properly registered and have a residence card that is valid.

Nobody wants to punish anybody for acting on their EU treaty rights, least of all Croatia after having the rights of its citizens guaranteed and set to be enshrined by London long ago, so make sure to follow us for any updates as we'll be sure to bring them as soon as we're informed of any, should the UK ever actually leave the EU at all.

Make sure to follow our dedicated politics page for more.

Croatia boasts many positive attritubes, and while a steady economy and trustworthy politicians might be lacking, natural resources are aplenty. Croatia's geographical position gives it a very usual array of climates, landscapes, weather systems and natural resources, and fresh water, along with solar power, is one of the country's most plentiful resources and can be found up and down the country in abundance. Despite that, Croatia is of course struggling to get any real use out of it.

As Poslovni Dnevnik writes on the 20th of January, 2019, the Republic of Croatia boasts the largest supply of fresh water in the whole of the territory of the European Union. You'd think that would be an advantage worth making proper use of, but this is Croatia and you'd unfortunately be wrong, as when it comes to domestic water supply systems there are some enormous losses, and in some, up to 80 percent of that water is lost through leakage.

The reasons for this hardly forgivable lack of foresight when it comes to what arguably makes a country incredibly rich - its water, are that most of the country's pipes are more than fifty years old. People who are naturally becoming rather bored of excuses often accuse the country's city waterways of using their frequent price hikes simply to tune their budget more.

The solution to this embarrassingly bad situation with the country's water supply network is seen by many in withdrawing money from the available European Union funds. Croatia has around 200 utility companies, and in order to increase the efficiency of the system, the solution is seen in their eventual unification, meaning that the market should consist of forty water pipelines.

People of course pay for their water, but less losses owing to more efficient waterways would result in significantly lower costs because the aforementioned outdated water supply network is a problem throughout the country, HRT reports.

Give our dedicated lifestyle page a follow for much more.

The proposal, according to Goran Pauk, will contribute to increasing the quality of life in Croatia's counties and increasing the withdrawal of European Union money. The Croatian Government will soon offer the proposal to Brussels.

As Marija Brnic/Poslovni Dnevnik writes on the 16th of January, 2019, the Croatian Government will submit a proposal for a new division of Croatia's regions to Brussels on the 24th of January this year, in which the current division into two regions will be replaced by a new ''map'' with four divisions.

The existing model was set up back in 2012, with seven coastal counties included in the Adriatic, while thirteen counties and the City of Zagreb are united as continental Croatia. From the very outset, the main weakness of this form of division was showcased by the Croatian capital, the only one with more than 100 percent of development according to the EU average, which unintentionally yet severely limited the potential of withdrawing and using European Union funds in other continental counties.

As in the meantime the number of inhabitants of Zagreb exceeded 800,000, a study was carried out, in which the Institute for development and international relations was engaged. Of the nine analysed divisions, it was determined that it would be best to distinguish Zagreb as a separate region. Adriatic Croatia remains the same, while Northern Croatia would be consist of Krapina-Zagorje, Međimurje and Koprivnica-Križevci counties. Central and Eastern Croatia would be made up of the Slavonian counties plus Bjelovar-Bilogora, Karlovac, Sisak-Moslavina, with the option of Bjelovar-Bilogora also being part of Northern Croatia.

While the Croatian Government will of course be the official body which sends the final proposal, the decisions will be made by the involved counties themselves next week, but in any case, the new divisions, like the other continental ones, will see many counties enjoy far better positions and a greater degree of regional support than the current divisions have. In the counties of Eastern Croatia, and in Sisak-Moslavina and Karlovac, the level of regional aid would increase by 25 percent with this new model when compared to the present situation.

Those in the northwest would be entitled to a 10 percent increase in regional aid while Adriatic Croatia would remain nominally at its current level, but in reality things would also increase there, too. By having Zagreb as one region, the level of compulsory national co-financing on its territory would come up to 60 percent instead of the current 30 percent.

It has been estimated that the Croatian Government's new proposal will certainly contribute to increasing the quality of life in all of Croatia's counties, as well as increase the withdrawal of cash from EU funds. Positive effects will be especially felt by Croatian entrepreneurs in the counties of continental Croatia, because they will be able to receive more support from the available funds.

Keep up with what the Croatian Government's next moves are and much more by following our dedicated politics page.

Click here for the original article by Marija Brnic for Poslovni Dnevnik

Excellent news at the very dawn of the brand new year for Donje Čelo on the island of Koločep (Kalamota) as a huge cash injection for port infrastructure is on its way. Getting enough cash for Croatian islands is something in the forefront of the minds of many, and this move will work to ensure higher quality for all.

Koločep is one of a group of islands close to the mainland known as the Elaphite (Elafiti) islands, made up of Koločep, Lopud and Šipan, which lie just north of the City of Dubrovnik. The islands attract many visitors on the numerous excursions which leave from the popular Pearl of the Adriatic on a daily basis during the warm summer months.

As Morski writes on the 11th of January, 2019, the Ministry of Maritime Affairs, Transport and Infrastructure has decided on allowing the financing of a massive 24 million kuna's worth of renovation and reconstruction works for Donje Čelo's port on the southern Dalmatian island of Koločep, in a move conducted by the County Port Authority of Dubrovnik. 

This is otherwise one of the eight local and regional port projects that Dubrovnik-Neretva County is preparing for owing to very welcome funding from non-refundable European Union funds, meaning that while standards are still not matching those on the mainland cash for Croatian islands is no longer just a pipe dream.

More cash for Croatian islands will be channelled through further projects currently planned for the Perna port in Orebić, Polačište on the island of Korčula, Trpanj harbour in the Trpanj Municipality, Prigradica in the Blato Municipality, a ferry-passenger terminal in Vela Luka and Luka Ubli on the island of Lastovo. The total value of the aforementioned projects stands at about sixty million euros, as has been reported from Dubrovnik-Neretva County.

Stay up to date by following our dedicated lifestyle page. If it's just Dubrovnik and the extreme south of Dalmatia you're interested in, don't forget to give Total Dubrovnik a follow.

For some, the mere idea of the introduction of the euro in Croatia is enough to induce passionate debate. For others, the introduction of the single European currency is the next step to leaving the country's tumultuous past behind, and joining the ''ever closer union'' that Eurocrats in Brussels speak so highly of. While the United Kingdom managed to secure a way out of the currency's introduction much earlier, Croatia had to agree to take on the euro in order to join the bloc.

Introducing the euro in Croatia is likely to bring problems as well as solve them, but what use is the adoption of the single currency when many of Croatia's national institutions are in total disarray? Until state institutions can be brought into line, the introduction of the euro and the overhaul that involves will only work to contribute to existing issues, rather than help to solve them.

As Ana Blaskovic/Poslovni Dnevnik writes on the 9th of January, 2019, just over a year after the announcement of the Croatian Government's intention to introduce the euro, encouraged by positive signals from Europe, Croatia will send a letter of intent to enter the exchange rate mechanism (ERM) by the summer. The aforementioned mechanism is known as the ''waiting room" for a country's introduction of the euro as its currency. Although the letter is only the first formal step in the process of replacing the kuna with the formerly problematic single currency, its content is not merely a pleasant yet rather empty formality.

The letter will involve the Croatian Government agreeing on a series of concrete reform moves, in a relatively short period of about a year. "The ball is now in the government's court to make a list of moves that can be completed within a year, within the gauge that they're achievable, easily measurable, and are written in the letter of intent," an interlocutor close to the central bank told Poslovni Dnevnik.

Judging by the Bulgarian version of the letter that Sofia officially sent to a number of European Union addresses at the end of July, the answer to the question of what exactly Andreja Plenković's government could or should put on paper doesn't need great philosophical effort put into it. There is already a list of specific recommendations from Brussels for the Republic of Croatia.

Reforms is a word that everyone in Croatia gets sick of hearing, and this next political move involves a well-known series of infamous reforms, the implementation of which has been largely shifted to ''next year''. The euro in Croatia however, demands certain reforms be met, and sooner rather than later.

For example, there are administration reforms (including those regarding salaries), reforms to the utterly bizarre Croatian justice system, the establishing of a more just system of social benefits and rights, the strengthening of the fiscal framework, and the introduction of property taxes, a controversial idea which Plenković has moved around quite a lot on.

"The European Commission supports member states' efforts to introduce the euro, not only politically, but in also providing the necessary technical assistance and potential financial resources," said Valdis Dombrovskis, adding that Croatia is very serious in its intentions and is working intensively to meet the conditions for its eventual entry into the eurozone. One of the panelists at that conference was the Croatian National Bank's Boris Vujčić, which is also regarded by all as a firm sign of Croatia's support.

"The most difficult thing to do is to enter the ERM II, because there are no clear criteria that a country needs to meet in order to enter the exchange rate mechanism. Once you're in the ERM, the criteria for introducing the euro is clear, although some of it is constantly changing, so you do need a bit of luck on your side in order to be able to fulfil it,'' said Latvia's governer. One thing is certain, unlike the correspondence Croatia has had with the European Commission until now (primarily concerning becoming a member of the EU), the rules for a country's adoption of the euro are much stricter.

Make sure to stay up to date for more information on the intended introduction of the euro in Croatia and much more by following our dedicated politics page.

Click here for the original article by Ana Blaskovic for Poslovni Dnevnik

As of 2016/17, there were 770 Croatian students attending university in the United Kingdom, a figure which is over three times higher than three years before when just 255 Croats were studying in the United Kingdom.

Despite the fact that the international application and enrollment load has been flattened in recent years when it comes to the UK’s higher education system, the number of talented foreign students willing to get a British degree remains high. Moreover, there are students coming from particular countries who, over the past few years have intensified their presence within British universities.

Shedding light on official statistics, Studying-in-UK.org revealed that Croatian students are in that category. Following their country’s accession to the European Union back in 2013, the number of Croatian students attending UK universities increased largely on a year-on-year basis.

According to these statistics, last year, British universities were home to 770 Croatian citizens, which, when compared to three years previously, was more than three times higher.

Statistics from 2013/14, on the other hand, show that during that year there were 255 Croatians enrolled in UK universities. Moreover, in the previous year, there was not a single Croatian citizen studying in the UK.

Universities in England are home to the majority of these students. Out of 770 Croatian students in the UK, 645 of them were attending an English university as opposed to 85 students in Scotland, and 40 students in Wales. In Northern Ireland, on the other hand, there were only five Croatian students attending university who were enrolled during the 2015/16 academic year.

The number of Croatian students in British universities by constituent country (Northern Ireland, England, Scotland, Wales) over the past several years is shown on the table below for the time period 2013/14 – 2016/17.

Make sure to follow our dedicated lifestyle page for more.

As Josip Bohutinski/VL/Poslovni Dnevnik writes on the 8th of January, 2019, the Croatian Government is set to propose an increase in the amount of PSO contracts Croatia Airlines receives for domestic flights to the European Commission (EC). Croatia's national airline Croatia Airlines (CA) should select a financial advisor to develop a recapitalisation model and find a strategic partner by the end of this month.

The two-time bidding was announced last September, and as has since come to be known, reputable world companies such as Deloitte, AT Kearney, PwC, the Boston Consulting Group and DBV, which are part of a consortium with Croatia's PBZ, have come to be involved.

From Croatia Airlines themselves, they stated that last year, the Croatian Government put the company back on the list of companies of strategic and special interest of the Republic of Croatia, and that in the national reform program, it was stated that the goal in respect to Croatia Airlines is to ensure the further development and strengthening of competitive advantages and positions in the air transport market through quality strategic partnership. That strategic partner, which is obviously yet to be found, should expand Croatia Airlines' transport network and increase market share, as well as successfully recapitalise the air company.

Just how much money is actually needed?

When asked about this, Croatia Airlines responds the bid is still in process and therefore the company isn't in a position to comment on its details at the moment. The selected advisor should assess the amount of money really needed for the recapitalisation of the airline. Croatia Airlines' provisional director, Jasmin Bajić, has already estimated that it stands at about 250 million kuna.

In the past year, the Polish national airline LOT and the 4K German investment fund, which has already taken over Slovenia's Adria Airways, have both been interested in entering Croatia Airlines. As is already known, some Chinese air carriers have recently shown a somewhat general interest, but air carriers outside the European Union can only have up to a 49 percent share in an airline from within the European Union at most. As potential buyers, the Chinese have also mentioned the previous sales attempts by Croatia Airlines, all of which have failed.

Nobody made any serious offers or even showed a great deal of potential interest back in the 2013 recapitalisation bid, although Indonesia's Garuda and China's Hainan Airlines were mentioned as potential buyers. Of course, nothing came of it.

The then government started looking for a strategic partner for Croatia Airlines once again back in 2015, they hired IFC, a World Bank fund that verified the interest of European and world air carriers for the Croatian national airline. At that time, Korean Air and Taiwanese Eva Air were mentioned as the most prominent companies. IFC was supposed to propose a proper privatisation model for Croatia Airlines, after which a public tender was to be launched. But yet again, nothing came of it, because parliamentary elections were held at the end of the year, and the powers that be were subsequently changed.

While the new advisor elaborates the model of privatisation of Croatia Airlines again, the government will, along with the European Commission, try to find a way and hopefully agree on how the state could further assist the still struggling Croatia Airlines.

The Croatian proposal will be to increase the amount of public service obligation (PSO) contracts that Croatia Airlines gets for domestic flights, currently amounting to 75 million kuna. In addition, this year the Croatian National Tourist Board will receive 7.5 million kuna for joint advertising.

Make sure to stay up to date with the Croatia Airlines saga and much more by following our dedicated business, politics and lifestyle pages.

Click here for the original article by Josip Bohutinski/VL on Poslovni Dnevnik

Many places in Croatia have been making good use of EU funds, but others need time to catch up. The opportunities provided by accessing the funding has been showcased in one excellent Croatian example, Zaprešić.

As Poslovni Dnevnik writes on the 27th of December, 2018, last Friday, Zaprešić was the final host of the Regional EU Funds seminar for this year. The seminars aim to inform the public about the funding opportunities provided by EU funds by the Ministry of Regional Development and EU funds.

Zaprešić is just one example of good EU funds practice, and this is also backed up somewhat symbolically by the fact that the education seminar about the use of EU funds was held in the Vršilnica building, which was rebuilt with the very welcome help of 4,855,637.50 euro, co-financed by European structural and investment funds.

EU funds are one of the key sources of funding for urban investments and large capital projects across the Republic of Croatia, without which the City of Zaprešić simply could not have realised many projects. As explained by Mayor Zeljko Turk, in the period from 2017 until now, nearly 33 million kuna of contracted funds outside of the city budget have been spent, which have helped to deal with large capital projects, raise the overall quality of life, and accelerate the development cycle of Zaprešić in general. The fact that EU funds are a huge part of Croatia's present and future, was emphasised by the state secretary at the Ministry of Regional Development and EU funds, Velimir Žunac.

"We're the youngest member of the European Union, so we're learning, growing and maturing at the same time, and this government has made significant gains. Back in January 2017 we contracted a mere 9 percent of EU funds, and this year, we'll be at 60 percent, that speak volumes about how successful we are,'' stated Žunac.

The 2017 economy analysis shows that the most prominent economic branches in Zaprešić are trade (23 percent), followed by service activities (16 percent) and professional scientific and technical, construction and manufacturing industries, holding a total of 33 percent.

"The city is doing a lot to improve the infrastructure and conditions for its entrepreneurs, and for this purpose, funds amounting to 6 million kuna have been secured, and this is 100 percent co-financed with European Union money in the entrepreneurial zone in Pojatno, where a completely new road will be built which will attract new businesses and create new jobs,'' said the head of the Zaprešić finance and economic development department, Miljenko Šoštarić.

Satisfied entrepreneurs are the souls of the city, and just how it is to actually be an entrepreneur in Zaprešić, with his own experience of using the EU contribution, is the owner of the Mihaliček company, which employs 50 people with a turnover growth of 10 to 15 percent per year.

"We applied for the tender because the appetities within our company grew, we developed new jobs and got more people. We applied for a crane and a laser machine for installing and processing concrete, and we received 300,000 kuna in non-refundable funds, which was 55 percent of our investment,'' said Stjepan Mihaliček, stating that such a form of contribution to them was relevant because renting or buying used machinery could be at the expense of safety in the workplace. 

''In order to encourage as many entrepreneurs as possible to use EU funds, entrepreneurs may submit their email addresses to receive a newsletter containing all the available information on various financing options, including funding opportunities from EU funds with the aim of developing new business ideas and boosting competitiveness on both domestic and foreign markets,'' explained Šoštarić.

Make sure to stay up to date with our business and politics pages for more information on EU funds, how Croatian companies can make use of them, and for everything going on in the political and business world in Croatia.

Click here for the original article by PD i VL native tim