PM Plenkovic and French executives advocate strengthening of bilateral relations

Croatian Prime Minister Andrej Plenkovic on Monday received a delegation of the French employers federation MEDEF for talks on the strengthening of the bilateral economic cooperation.

PM Plenkovic expressed satisfaction with the visit of representatives of French companies to Croatia.

This can be seen as "a sign of excellent Croatian-French relations, reinforced by our strategic partnership," Plenkovic was quoted as saying.

Plenkovic also informed the French delegation of the performance of his cabinet in the first 100 days of its term, including the adoption of the 2017 budget, with a projected deficit of 1.6% and the curtailment of the public debt to 81.5% of GDP in 2017. Plenkovic highlighted other positive steps, such as a comprehensive tax reform aimed at boosting Croatian companies' competitiveness.

During the meeting with the French executives, Plenkovic welcomed the fact that some 60 branches of French companies in Croatia employ about 6,500 people.

He recalled agreements on investment protection and double taxation avoidance between the two countries.

"France is the seventh biggest investor in Croatia, with 1.4 billion euros (from 1993 to the end of Q3 2016), and is our tenth biggest trading partner, with the volume of our trade in 2015 standing at 700 million euros. In this context, I am sure that we can achieve better results and I am sure that you can find many business opportunities in Croatia, either in cooperation with Croatian companies or through partners in joint ventures on third markets," said Plenkovic, who also recalled his diplomatic work in France between 2005 and 2010.

During the meeting in the Croatian government, 25 French companies from the sectors of construction, aeronautics, space technology, defence, energy, water management and waste management, transport, banking, financing and consulting promoted their work.

The visit of the French executives will continue with a business forum. During the forum, B2B talks will be held between the executives of 17 Croatian and 20 French companies.

Trade between Croatia and France reached 700 million euros in 2015, an increase of 12% on the previous year. Croatia's exports totalled 270.8 million euros, and imports stood at EUR 429.4 million.

In the first ten months of 2016, Croatia's exports to France stood at 223.9 million euros, down 0.45% compared to the corresponding period in 2015, while imports from France increased by 12% to 402.6 million euros.

As many as 492,000 French tourists visited Croatia in the first eleven months of 2016, generating over 2 million overnight stays, which is an increase of 10% over the same period in 2015.

Its geo-strategic position and high-quality labour force make Croatia an attractive market for French investors. France exports to Croatia cars, pharmaceutical products, vessels, agricultural and food products, plastics, electrical and electronic equipment, and cosmetics. Croatia exports to France car parts and equipment, agricultural machinery, goods wagons, electrical equipment, textile and leather products, and timber products.

Text: Hina

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