The key message from the World Bank's Doing Business report is that over the last year Croatia has made progress in five of ten areas, and also interesting is the indication that the progress has been greater than in the previous five years, the Deputy Prime Minister and Minister of Regional Development and EU Funds, Branko Grcic told the press.
Grcic: Croatia has made greater progress over last year than in previous five
ZAGREB, Oct 29 (Hina) - The key message from the World Bank's Doing Business report is that over the last year Croatia has made progress in five of ten areas, and also interesting is the indication that the progress has been greater than in the previous five years, the Deputy Prime Minister and Minister of Regional Development and EU Funds, Branko Grcic, told the press on Tuesday.
The Doing Business 2014 report, which was released on Tuesday, shows that Croatia slid to 89th place among 189 countries covered by the report, while last year it finished 84th out of 185 countries. Croatia made progress in five areas, while deteriorating or stagnating in five.
The report shows that from June 2012 to June 2013 Croatia improved its regulation by implementing reforms in five areas, more than in any other year since 2007 -- making it easier to start a business, facilitating payment of taxes, international trade and contract enforcement, and resolving insolvency.
"According to the assessment of the World Bank, this government has made greater progress in one year than was made in the previous five years," Grcic said, adding that Croatia had not moved up in the ranking because other countries too were carrying out reforms during the recession.
Grcic noted that the focus should now be on improving the process of issuing building permits, ownership registration, putting land registers in order, and investor protection. It is very important that we should be able to pinpoint responsibility and say exactly who is responsible why certain projects are not moving forward, he added.
Croatia recorded the biggest downgrade in investment protection, falling from 139th to 157th place. With regard to the issuing of building permits, it dropped from 143rd to 152nd place, and regarding property registration it slid from 104th to 106th spot.
Asked to be more specific, Grcic said that under the existing agreements the government was the only one to suffer the consequences of possible delays in investment projects, adding that it should not be that way in the future.
"If local government units make a mistake in spatial planning, in issuing permits and other necessary documents or they do something that may put investors at risk through no fault of their own, it is logical that in that case local government units should take consequences rather than shift the burden of court actions onto the central government," Grcic said.
When asked to comment on the 4% decline of industrial production, Grcic said that it was the result of deep restructuring of the industrial sector, as evidenced by the large number of pre-bankruptcy settlement proceedings involving manufacturing companies.
(Hina)
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