PM Plenković: This year the government will implement 104 measures that should save businesses 1.5 billion kuna

This year the Croatian government will implement 104 measures that should save businesses 1.5 billion kuna (200 million euros), Prime Minister Andrej Plenkovic announced at the start of a Cabinet meeting on Thursday.

He was speaking of an action plan to reduce the administrative burden on enterprises and a proposal to establish a commission to reduce and abolish non-tax levies.

"This effort reflects the government's announcement that 2017 will be a year of enterprise with the focus on the real sector and on creating a more favourable business and investment environment in Croatia," the prime minister said.

He said that in the course of the year 104 measures would be implemented which were expected to save up to 1.5 billion kuna for enterprises.

"That is our systematic plan and it will be followed by additional activities relating to the regulatory reform," Plenkovic said.

The action plan to reduce the administrative burden on enterprises consists of two large parts: measures to reduce redundant administrative costs of doing business and measures to liberalise the professional services market.

The aim of the first part of the action plan for this year is to cut the amount of non-tax levies by 30 percent on average, which would save 1.5 billion kuna, while the aim of the second part is to facilitate access to the professional services market, which should enhance competition in services offered by audit and law firms and driving schools.

The greatest savings are expected to be made in the area of occupational safety, where non-tax levies will be cut by HRK 1.3 billion from the present HRK 2.38 billion.

The present non-tax levies of HRK 207 million for sanitary and health conditions will be reduced by about 97 million, while non-tax levies for start-ups will be cut by HRK 37.5 million from the present 54 million.

Also, HRK 9.3 million is planned to be saved in the area of energy efficiency in construction, where enterprises now pay HRK 23.3 million in non-tax levies.

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