November 3, 2022 - There are less than two months left until the introduction of the euro. And while the citizens are already slowly getting used to the new currency, with the mandatory dual display of prices, preparations for the practical introduction of the euro are in full swing. What about the ATMs?

As HRT reports, from the first of December, Croatian citizens will be able to buy initial packages of euro coins, and in the middle of next month, the adaptation of ATMs for the payment of banknotes will begin. "For now, everything is going according to plan. Banknotes are arriving continuously, we are minting our Croatian coins. There is a lot of work, but we will be ready on January 1", said CNB Governor Boris Vujčić, in a guest appearance on HTV's central Dnevnik.

When asked what will happen from the night of December 31 to January 1, he said that there is a combination of computerised/automated and purely physical cash distribution.

"ATMs must be ready to dispense cash in euros, although we will have a co-circulation of two weeks between kuna and euro. A large number of ATMs will deliver euros on January 1st, and some will be able to deliver kuna until December 31st. We will coordinate this so that it is easy for people to get cash", he said, pointing out that it would be easiest to deposit cash in banks where it will be automatically converted on January 1.

He also commented on the inflation

"The inflation is caused by completely different things, not the introduction of the euro. It will increase somewhat after the introduction of the euro, but very little compared to this rate of inflation that we have, which is primarily caused by disruptions in the energy market, and partly also in the food market. The euro itself, when we introduce it, will contribute very little to the inflation rate", Vujčić pointed out.

The European Central Bank's decision to increase key interest rates entered into force today.

"In Croatia, the largest part of loans are cash loans - almost a million, and they are practically all at a fixed interest rate. Of the housing loans, of which there are a little over 200,000, 15 percent are fixed, and the rest are variable. Those who will feel the increase in interest rates are those whose rates are not fixed, he said and explained: 1 percentage point increase in interest rates on a medium loan, a medium housing loan, increases the monthly repayment installment by approximately 5 percentage points. So, on an average medial loan with an annual repayment of 3,600 euros, we have an increase in repayment by approximately 180 euros per year. This is not something people should worry about", the CNB governor pointed out.

He also said that the recession is not here yet

"We can see a slowdown in economic activity. Our growth forecast for next year is 1 percent, but there are risks. The biggest risk is the question of whether there will be a reduction in energy sources or not. If there is no reduction, then we will get through this winter relatively well, and if there is a need for a reduction, then we have a recession", concluded Vujčić.

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ZAGREB, 6 Oct, 2021 - The main Zagreb Stock Exchange (ZSE) indices increased on Wednesday, the Crobex by 0.03% to 2,033 points, its highest level since February 2020, and the Crobex10 by 0.01% to 1,245 points, its highest level since March 2017.

Regular turnover was HRK 13.5 million. Another HRK 4.5 million was generated in a block transaction with Atlantic Group stock at HRK 1,550 per share.

The most traded stock in regular trading was Valamar Riviera, turning over HRK 3.6 million. It closed at HRK 31.2 per share, down 0.95%.

Forty-nine stocks traded today - 20 gaining in price and 13 losing, while 16 were stable.

(€1 = HRK 7.486388)

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ZAGREB, 6 Oct, 2021 - Croatia's industrial producer prices jumped by 12.1% in September 2021 compared with the same month in 2020, their highest rise since January 2011, according to the data released by the National Bureau of Statistics.

This was the seventh month in a row to see an increase in industrial producer prices on an annual level, following the 9.3% rise in August.

The positive streak began in March this year with an annual rise of 3.5% and was followed by increases of 5.8% in April, 7.6% in May, 7.2% in June and 7.9% in July. 

The rise was mainly driven by energy prices. Excluding energy, producer prices in September were 0.5% higher than in August and 3.5% higher than in September last year.

On the foreign market, industrial producer prices in September 2021 increased by 1.0% compared with August 2021 and by 10.1% compared with September 2020. On the domestic market, they rose by 3.2% month on month and by 13.7% year on year.

Broken down by main industrial groupings, in September compared with August, prices of energy on the domestic market increased by 9.4%, prices of capital goods by 0.5%, prices of intermediate goods by 0.4%, prices of durable consumer goods by 0.1%, and prices of non-durable consumer goods by 0.1%.

On an annual level, prices of energy on the domestic market rose by 42.2%, prices of intermediate goods by 6.2%, prices of durable consumer goods by 2.5%, prices of capital goods by 2.5%, and prices of non-durable consumer goods by 1.2%.

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ZAGREB, 5 Oct, 2021 - The main Zagreb Stock Exchange (ZSE) indices closed mixed on Tuesday, with the Crobex gaining 0.26% to reach 2,032 points and the Crobex10 shedding 0.23% to end the day at 1,245 points.

Turnover at the close of the trading session was HRK 14.7 million, which is 10.9 million higher than on Monday, and as many as six stocks passed the turnover mark of one million kuna.

The stock of the Valamar Riviera hotel company turned over HRK 2.2 million, closing at HRK 31.5 per share, up 3.3%.

The Podravka food company followed with a turnover of HRK 1.9 million. The price of its share fell by 3.27% to HRK 650.

The Koka poultry processing company saw the price of its share jump by 6.72% to HRK 470, turning over HRK 1.82 million.

The Atlantska Plovidba shipping company turned over HRK 1.77 million, with the price of its share increasing by 3.0% to HRK 550.

Telecommunications equipment manufacturer Ericsson Nikola Tesla saw the price of its share drop by 0.29% to HRK 1,710, turning over HRK 1.5 million, while the HT telecommunications company turned over HRK 1.4 million, with the price of its share remaining unchanged at HRK 190.

A total of 41 stocks traded today, with 21 of them recording price increases, 11 registering price decreases and 9 stagnating in price.

(€1 = HRK 7.490910)

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ZAGREB, 29 Sept, 2021 - The Zagreb Stock Exchange (ZSE) Crobex index on Wednesday decreased by 0.21% to 1,983 points, while the Crobex10 increased by 0.03% to 1,126 points.

Regular turnover was HRK 13.3 million.

Again, the most traded stock was the Podravka food company, which turned over more than HRK 4 million, closing at a record-high HRK 636 per share, up 1.3%.

Podravka has been recording an increase in turnover for three weeks, during which time its shares have mainly been bought by the Pivac meat industry, which holds 3.18% of Podravka's equity.

Forty-four stocks traded today, with 12 increasing in price and 20 decreasing, while 12 were stable.

(€1 = HRK 7.489688)

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ZAGREB, 29 Sept, 2021 - Expectations for Croatia's economy in September 2021 came close to the pre-pandemic level, supported by confidence in services and retail trade, while consumer confidence was down, a European Commission report said on Wednesday.

In September 2021, the Economic Sentiment Indicator (ESI) in Croatia went up 0.7 points on the month to 112.7, its highest level since February 2020, just before the pandemic broke out, when it was  at 113 points.

Services and retail trade confidence saw the highest increases, by 3.3 and 3 points, respectively, while industry confidence increased by 0.4 points.

Construction confidence decreased by 0.8 points and consumer confidence by 1.6.

Business leaders said they planned to intensify hiring in the coming period, resulting in a 0.9 point increase of the Employment Expectations Indicator (EEI) to 111.5, a record high since 2019.

Optimistic European consumers

In September 2021, the ESI remained unchanged in the EU (at 116.6) and broadly stable in the euro area (+0.2 points to 117.8).

Construction confidence went up by 1.8 points in the EU and by 2 points in the euro area, while consumer confidence went up by 1.1 points in the EU and by 1.3 in the euro area.

Industry confidence remained unchanged in the EU and marginally improved in the euro area.

Retail trade confidence decreased by 2.8 points in the EU and by 3.3 in the euro area, while services confidence decreased by 1.4 points in the EU and by 1.7 in the euro area.

The EEI increased further (+1.0 point to 113.6 in the EU and +0.8 points to 113.6 in the euro area).

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ZAGREB, 29 Sept, 2021 - Finance Minister Zdravko Marić told a press conference on Wednesday that the money from the National Recovery and Resilience Plan (NPOO) would be granted only to those that met all the criteria.

The European Commission on Tuesday disbursed €818 million to Croatia in a pre-financing payment under the Recovery and Resilience Facility (RFF), which is equivalent to 13% of the country's total financial allocation under the RRF.

Marić said that the government had agreed the pace of expenditure and implementation of reform and investment measures. He said he expected at least 50 projects to be prepared by the end of the year, adding that they concerned digital transformation and the transition to green transformation in the industrial sector. 

"Who will get these funds will depend on tenders and fulfilment of the criteria," the finance minister said.

He announced tenders for the construction of kindergartens and schools, and said that individual projects, such as development of autonomous vehicles by the Rimac company, were also important.

Before the end of this year or early next year, there will be additional tenders for the award of grants for energy efficiency and further green transformation, and some of the funds will also go towards post-earthquake reconstruction, he said.

Asked about the possibility of Croatia losing some of the money because of problems with public procurement, Marić said that public procurement must be efficient because "projects are subject to deadlines, and speed and efficiency are the key."

He noted that the Croatian public procurement law is the most complicated in the EU and needs amending.

Asked who can apply for NPOO funding, Marić said that in the context of the manufacturing industry those would be small and medium-sized businesses, notably those that would contribute to green and digital transformation.

"Funds will be disbursed to all those that fulfil the criteria and requirements," he said, adding that funds would also go towards development of the telecommunications network.

"This 13 percent of the allocation has now been paid, the next €700 million will be paid by the middle of next year and a further 700 million by the end of next year. We need to carry out 34 measures until the end of this year. Some have already been implemented, while some have certain risks," Marić said.

"The next tranche will depend on how many measures have been fulfilled. If we fulfil all 34 measures, €700 million will come in, and if we don't, there will be a certain correction to this amount," Marić concluded.

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ZAGREB, 29 Sept, 2021 - The Zagreb Holding Group had a loss of HRK 60.8 million in the first six months of 2021, which is significantly less in comparison to the H1 2020, when the loss amounted to HRK 139.6 million, the group's financial statement released on the Zagreb Stock Exchange on Wednesday indicate.

The Zagreb Holding Group comprises the Zagreb Holding d.o.o., which is completely owned by the City of Zagreb and its 14 branches and 8 companies and institutions.

The Group's total revenue in the first six months of 2021 amounted to HRK 2.02 billion, which is 7% more year on year, whereas expenditure amounted to HRK 20.8 billion or 3% more.

Revenue from business operations amounted to HRK 1.96 billion, or 7.4% more y-o-y, as a result of economic recovery.

The most significant growth in the Group's revenue was generated in the energy sector and the supply and distribution of gas, primarily through expanding new distribution areas and an increase of 11% in the delivery of gas supplies.

At the same time, material costs and the cost of services increased by HRK 28.2 million or 3%.

The Group's results are still largely impacted by losses in the Čistoća - city waste collection service which registered a loss of HRK 85.7 million in H1.

At the end of June, the Group had 7,765 employees. Personnel costs in H1 amounted to HRK 611 million or HRK 12 million more than last year.

The Group's investments reached HRK 146.5 million, with an additional HRK 26.2 million invested in the construction of public premises.

 There were 7,765 employees on the group+s payroll at the end of June.

(€1 = HRK 7.489688)

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ZAGREB, 28 Sept, 2021 - The main Zagreb Stock Exchange (ZSE) indices went up on Tuesday, the Crobex by 0.43% to 1,987 points and the Crobex10 by 0.47% to 1,216 points, while regular turnover was HRK 11.5 million.

The most traded stock was the Podravka food company, turning over HRK 2.55 million. It closed at HRK 628 per share, up 1.95%.

Forty-one stocks traded today, with 19 going up in price and ten going down, while 12 were stable.

(€1 = HRK 7.491414)

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ZAGREB, 28 Sept, 2021 - A growing number of foreign workers are coming to work in the north of Croatia as local metal, manufacturing and construction companies have difficulty finding labour on the domestic market, Večernji List daily said on Tuesday.

Workers are coming from the Philippines, Ukraine, Nepal, India and elsewhere and there are already so many of them that there is a shortage of accommodation for them. They are staying in hotels, holiday apartments or rented accommodation, the newspaper said.

In the Međimurje region, more and more old and renovated houses in which no one has lived for years are being rented. A 200 square metre house is rented to four persons for HRK 3,200 (€425) a month, or HRK 800 (€105) per person.

"We have been well received. We don't go out much. After work, we go to our flat and watch television. Sometimes we go to the lake or to the nearest cafe for a cup of coffee," says a Ukrainian who has found a job in the catering industry. He shares the rent with a workmate, and earns twice as much as he would in Ukraine. He plans on going to Germany one day.

"There are almost no young workers available on the domestic market, notably in occupations such as bricklayers, carpenters or rebar workers. These occupations are dying out in this region," a CEO was quoted as saying.

The question of whether an inclusive centre should be opened has been raised in Varaždin County. The county's head, Anđelko Stričak, said that the local economy would have difficulty functioning without foreign labour and that the foreign nationals living and working in the region should be looked after.

Nearly 57,000 work and residence permits have been issued to foreign nationals in Croatia this year, the newspaper said.

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