Diplomacy & Commerce 24

July/August 2020 | ISSUE No. 24 | ONLINE EDITION

24 JULY

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NEW CROATIAN GOVERNMENT VOTED IN

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TOGETHER FOR EUROPE’S RECOVERY H.E. ROBERT KLINKE

Ambassador of the Federal Republic of Germany to the Republic of Croatia

WE HUGG YOU WITH MUSIC Zagreb Philharmonic Orchestra

CROATIA - QUALITY AND SAFE TOURIST DESTINATION KRISTJAN STANIČIĆ

Director of the Croatian Tourist Board

European New Deal

BAILOUT PACKAGE LIKE NEVER BEFORE

THE PEARL OF CROATIAN TOURISM Meneghetti Wine Hotel & Winery

Anniversary

18 YEARS OF SLO CRO BUSINESS CLUB

THE MOST IMPORTANT THING IS TO RESPECT THE PRESCRIBED MEASURES

Asst. Prof. KRUNOSLAV CAPAK MD, PhD Director of Croatian Institute of Public Health

FOREWORD

Liberté, Liberté Chérie ROBERT ČOBAN

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Director

WEBSITE

FACEBOOK

BOBAN SPASOJEVIĆ

Magazine Director Croatia boban@diplomacy andcommerce.hr

ILIJA PETROVIĆ INDIGOCHILD

am writing the editorial for this issue on July 14, Bastille Day, French national holiday celebrating liberty, which was best described in their national anthem, “La Marseillaise” - “Liberté, Liberté chérie“.

This “sweet liberty” has special meaning these days. I am writing this editorial by the swimming pool at the "Stanzia Menenghetti" Hotel in the heart of Istria.

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Art director indigochild.ilija@gmail.com

ALEKSANDAR KOSTIĆ

Designer designamites@gmail.com

ROBERT ČOBAN

Director Photos GETTY IMAGES TOMISLAV

Around us are several groups of tourists from Serbia and all the conversations revolve around the same topic: “Can we leave the hotel if we were instructed to stay in self-isolation? Does this apply to passengers from Serbia with a Croatian passport? Does a negative PCR test mean that we can move around? Where can we get tested?”

The year 2020 introduced the entire world to such ex-

tensive limitation of freedom that, at least in Europe, wasn’t seen since the fall of the Berlin Wall. The dream about “Europe without borders” was smashed on the rocks of national strategies of different countries that are trying to protect themselves against the plague of the Covid-19 virus pandemic.

Things that once seemed quite normal – to sit in your car, go to a neighbor country and spend several days of your vacation there –became an unattainable dream to millions of people.

Lack of freedom is mixed with the anxiety of what the "second wave" of the epidemic and the economic consequences that we all expect to "show their horns" in the fall, will bring.

This year we didn’t drink excellent wines in honor of Bastille Day. Like his colleagues from USA, Canada, Great Britain, Italy and other countries that celebrate their national holidays in the summer – the French Ambassador sent a video message.

We live and hope to experience “Liberté chérie” again in all its sweetness, even if we permanently lost our sense of smell and taste in the meantime.

SMOLJANOVIĆ

Translation GORANKA MILOŠEVIĆ

Predstavnik za RH

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H.E. ROBERT KLINKE

Politics

TOGETHER FOR EUROPE’S RECOVERY Ambassador of the Federal Republic of Germany to the Republic of Croatia

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HOW TO END THE PERILOUS INDO-CHINESE BORDER SPAT Elephant v dragon

07 ”Color Media Communications” LTD, 21132 Petrovaradin, Štrosmajerova 3 TIN 107871532 Matriculation number 20887303 Phone: +381 21 4897 100 Fax: +381 21 4897 126 Office: Vase Čarapića 3/IV/38, Belgrade Phone: 011 4044 960

CIP - Katalogizacija u publikaciji Biblioteke Matice Srpske, Novi Sad 33 Diplomacy & Commerce / glavni i odgovorni urednik Žikica Milošević, 2016, br. 1 (mart)-.Novi Sad: Color Media Communications, 2016 - , -33cm Mesečno.

ISSN 2466-3808 = Diplomacy & Commerce COBISS.SR-ID 303269895

ARMENIA CONTINUES, USING FORCE, TO VIOLATE THE TERRITORIAL INTEGRITY AND SOVEREIGNTY OF AZERBAIJAN Politics

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BAILOUT PACKAGE LIKE NEVER BEFORE European New Deal

INDIA-EU STRATEGIC PARTNERSHIP: A ROADMAP TO 2025

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THE MOST IMPORTANT THING IS TO RESPECT THE PRESCRIBED MEASURES Asst. Prof. KRUNOSLAV CAPAK MD, PhD Director of Croatian Institute of Public Health

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18 YEARS OF SLO CRO BUSINESS CLUB Anniversary

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ARCTIC BUSINESS INCUBATOR

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CROATIA – QUALITY AND SAFE TOURIST DESTINATION KRISTJAN STANIČIĆ Director of the Croatian Tourist Board

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THE PEARL OF CROATIAN TOURISM Meneghetti Wine Hotel & Winery

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OUR MISSION WAS A SUCCESS DARKO SAVELJIĆ Owner of Donkey Farm Martinići

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THE POOREST COUNTRIES MAY OWE LESS TO CHINA THAN FIRST THOUGHT The debt toll

FIKA talks

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SAAB - A SYNONYM FOR QUALITY AND SAFETY SAAB

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WE HUGG YOU WITH MUSIC MIRKO BOCH Director of the Zagreb Philharmonic Orchestra

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Together for Europe’s Recovery The COVID 19 pandemic has forced us to rethink our Presidency programme. And the pandemic will remain at the top of our agenda INTERVIEW

H.E. ROBERT KLINKE Ambassador of the Federal Republic of Germany to the Republic of Croatia

he German Presidency of the Council of the European Union does not stand on its own. Rather, it is part of a broader framework. It is therefore important for me to pay respect to the Croatian Presidency, which was taken by surprise, for its efforts to find a common European response to the corona crisis that has hit Europe and the EU in an unprecedented way, says H.E. Robert Klinke, Ambassador of the Federal Republic of Germany to the Republic of Croatia.

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Mr. Ambassador, could you comment on the context of the beginning of the German EU Presidency which started on the 1 July?

— The German Presidency has to be seen in the context of the Trio Presidency together with Portugal and Slovenia. The way we have all managed the crisis so far gives me some confidence. During these past few months, the EU member states, despite some initial difficulties, have shown that they are able to respond and act in a spirit of solidarity and in a proportionate manner. We want to further strengthen that spirit. I think our Presidency motto sums it up in a nutshell: Together for Europe’s recovery – Zajedno za oporavak Europe.

The Covid 19 pandemic will remain a dominant issue in the months to come. What are the topics and goals of the German EU Presidency?

an effort to contain the virus within the EU and elsewhere and thus overcome this health crisis. We want to work together on the implementation of a coordinated EU exit strategy, to lift remaining restrictions and to re establish the European single market. We want to foster Europe’s solidarity and unity by fostering

WE NEED AND WE ARE COUNTING ON THE HELP OF ALL OUR PARTNERS. AS OUR PRESIDENCY PROGRAMME SAYS: TOGETHER FOR EUROPE´S RECOVERY — Given the COVID 19 pandemic and the social and economic impact it has had and will have in future, one of the primary objectives of our Presidency is to continue the immediate crisis management in

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a sustainable recovery strategy. The agreement on both the multiannual financial framework and the recovery fund which – after more marathon negotiations – was reached by the Heads of States and Gov-

ernment in the Council of the European Union on 21 July is an important prerequisite for achieving this goal. We have to keep in mind that this agreement still needs the consent of the European and the national parliaments of the EU member states. However, the most important step has been taken and the basis for a sustainable recovery is laid. Last but not least, we need to start identifying lessons learnt for even more effective crisis management in the future. This includes strengthening European sovereignty and the EU’s capacity to act on its own accord in key areas.

Which other topics will the German EU Presidency focus on in particular?

— In accordance with the pro-

posals put forward by the European Commission, we will endeavour to take essential steps forward in the fields of climate and environment protection.

We fully support the European “Green Deal” and hope for the support of our European partners.

Consequently, one of the continuous lines of our Presidency will be “sustainability” – in political, but also in practical terms. This means not only that we put a special emphasis on CO2 emission reduction and will pay the CO2 levy.

We will also pay special attention to recyclability, to regional and organic food, to traditional skills and more.

During our Presidency we want to make progress in implementing the European Pillar of Social Rights, namely with

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This is indeed a number of issues. What about the Brexit and the international dimension in general?

— The list of challenges and issues to be tackled is quite long indeed. Take the negotiations on future relations between the EU and the UK, take

relations between the EU and the Western Balkans, the Eastern and Southern neighbourhood, Africa, the opening of accession talks with Albania and Northern Macedonia, just to mention a few of them. And, of course, we want to revitalise the high-level political dialogue between the EU and the US. Last but not least, we very much hope for a broader con-

started yet. However, we sense a great willingness among the EU members to embark on this important discussion.

The expectations of the German EU Presidency are obviously quite high. Could you comment on that?

— Many tasks lie ahead of us.

We know that our Presidency faces high and sometimes

WE WILL NOT BE ABLE TO MEET THE LARGE NUMBER OF CHALLENGES LYING AHEAD OF US ALL BY OURSELVES sensus on a more united stance regarding China within the EU. We assume that the Conference on the Future of Europe is also a substantial part of the agenda of the German EU Presidency.

— The Conference on the Future of Europe will help all of us to rethink the European Union through an open and inclusive dialogue with our citizens and the younger generations in particular. Formal negotiations on this conference have not

quite different expectations.

We remain ambitious though, with a clear goal to work for unity of action and solidarity in the coming months. At the same time, we also know that we have to be realistic about what can be achieved in the next six months. We will definitely have to remain focused in order to reach our goals. And let me be clear: we will not be able to meet the large number of challenges lying ahead of us all by ourselves.

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mental European values, and truly alleviates the burden on frontline member states. Externally, European migration policy should strengthen cooperation and equal partnerships with countries of origin and transit.

Strengthening the rule of law in the EU will be another clear priority of the German Presidency. In addition to existing procedures, what we need in the EU is a preventive and forward-looking mechanism allowing for an open and constructive dialogue on this crucial issue. It is crucial because it is a hallmark of our European Union. Therefore we plan to start a comprehensive discussion in the Council on the basis of the Commission’s first annual report on the rule of law.

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the EU framework for national minimum wages and minimum security schemes. We will also develop an unemployment insurance scheme on the basis of a Commission proposal.

As young people are likely to be particularly hard hit by the crisis, we are committed to strengthening the Youth Guarantee and tackling youth unemployment.

We will also promote gender equality. Our political focus will be on working towards realising pay equality between men and women, on empowering women in leadership positions and on combating gender based violence.

A sound refugee and migration policy based on solidarity and responsibility-sharing remains a top priority of the German Council Presidency. It is time to act, I am sure. What we are aiming for within the Union is a Common European Asylum System which ensures responsibility-sharing, efficiently curbs secondary migration, lives up to humanitarian standards and funda-

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ELEPHANT V DRAGON

How to End the Perilous Indo-Chinese Border Spat To avoid escalation, both sides should agree on the “Line of Actual Control” n the ancient Chinese game of Go, clever players ignore little battles in favour of strategic plays. Leaving local disputes unresolved means that later, when the game tightens and the enemy is off-guard, you can snatch prizes at lower cost. In the 69 years since China truly became India’s neighbour by grabbing Tibet, the world’s two most populous countries have played a similar game. Even as their leaders summited and trade thrived, the Asian giants left a mess of territorial disputes to fester.

Mostly these claims, over some 130,000 square kilometres on either side of their 3,488km-long border, have not mattered much. Despite a Chinese “lesson-teaching” invasion in 1962, rare armed skirmishes and less rare fisticuffs between patrols, the border zone has remained relatively calm. Much of it is too rugged and empty to fight over. So long as neither side shifts the status quo, what difference does it make if there are no proper markers on long stretches of border, but instead just a fuzzy “Line of Actual Control”?

A brutal clash on June 15th provided a loud and ugly answer. Details remain sketchy. At least 20 Indian soldiers died, many after tumbling into an icy river. India says the Chinese also suffered casualties. China says little. The death toll is the worst in any clash between the two since 1967, and the first loss of life since 1975.

Even worse, the skirmish cannot be explained away as an isolated incident. This spring China deployed far heavier forces than usual.

It has pushed them forward not at one point but at many, say Indian sources, in effect seizing as much as 60 square kilometres of land that India views as lying on its own side of the line. A particular concern is China’s westward extension along the Galwan river, threatening a strategic road that runs parallel to the border and forms the main link to India’s northernmost outposts. Not surprisingly, this is where the deadly clash erupted.

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CHINA MAY ALSO SEE AN INTEREST IN TEACHING INDIA THAT, SHOULD IT CONTINUE TO FLIRT WITH CLOSER TIES TO AMERICA, IT WILL PAY A PRICE Why would China change the status quo, angering a big nuclear-armed trading partner? Because, say Indian cynics, India is distracted just now by a swelling pandemic and shrinking economy, and saddled with a government better at chest-thumping than at strengthening its army or building alliances. Nonsense, say India’s critics. It is India that has changed the status quo, quietly expanding infrastructure in contested regions even as, after stripping its part of Kashmir of statehood last August, its leaders boasted of soon “regaining” other parts, including a chunk that Paki-

stan gave to China in 1963.

China may also see an interest in teaching India that, should it continue to flirt with closer ties to America, it will pay a price. To their credit, officials on both sides have avoided whipping up popular anger, stressing instead the importance of implementing an earlier deal to pull forces back. Such gentlemen’s agreements have calmed tempers in previous clashes.

Yet whatever the efficacy of generals meeting in windblown tents, it is a reckless way to fix problems between two rising nuclear powers that are home to a third of human-

ity. India has previously suggested that, as a second-best to a formal agreement over where the border lies, the two sides should at least present maps showing their view of where the line of control runs in practice. China, perhaps thinking itself the more astute Go player, has always refused to do so. This allows it to claim that any Indian move is a violation of its own understanding.

It is time to stop playing games.

China looks stronger just now but India, if pushed, will find ways to cause it pain. And the last thing the wider world needs is an escalating slugfest between a dragon and an elephant over a lofty patch of frozen earth.

From The Economist, published under licence.

The original article, in English, can be found on www.economist.com

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POLITICS

Armenia Continues, Using Force, to Violate the Territorial Integrity and Sovereignty of Azerbaijan Statement of Embassy of the Republic of Azerbaijan in the Republic of Croatia ver the recent months the violations of the ceasefire regime have significantly intensified involving often more and heavier weapons.

These violations culminated on July 12, when the positions of the Azerbaijani army as well as the Azerbaijani villages in Tovuz district along the state border between Azerbaijan and Armenia came under intensive fire using heavy artillery from the positions of the armed forces of Armenia.

On July 13, 2020, the Armenian armed forces targeted the village of Dondar Gushchu in Tovuz district of Azerbaijan and its civilian population using large-calibre weapons. As a result of the attack, several servicemen of the Azerbaijani army and civilians were killed and injured. The situation on the border continues to be tense.

It must be noted that Tovuz district is out of Nagorno-Karabakh region of Azerbaijan and situated along the state border between Azerbaijan and Armenia. By this barbaric act Armenia seeks to involve military-political organizations, which Armenia is member of, into the Karabakh conflict, through mil-

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THUS ARMENIA HAS ONCE AGAIN DEMONSTRATED ITS AGGRESSIVE AND TERRORIST NATURE itary provocations and avoid responsibility for occupation and aggression against Azerbaijan.

Thus Armenia has once again demonstrated its aggressive and terrorist nature.

This provocative act of the Armenian armed forces should be seen as a continuation of the recent actions and statements of the leadership of aggressor state Armenia, which

serve to increase tensions in the region.

Armenia, which has reflected its aggressive policy in the country's national security strategy, openly demonstrates that it aims to seize new positions and increase tensions in the region instead of eliminating the consequences of the conflict and withdrawing its occupying forces from the interna-

tionally recognized territories of Azerbaijan.

This provocation by Armenia casts serious doubt on the essence of the negotiations mediated by the OSCE Minsk Group co-chairs on the settlement of the Armenia-Azerbaijan Nagorno-Karabakh conflict.

In 1993, The UN Security Council adopted 4 resolutions demanding the immediate and unconditional withdrawal of the Armenian troops from all the occupied territories of Azerbaijan and the return of all refugees and internally displaces persons to their lands. The UNSC resolutions condemn the use force against Azerbaijan and occupation of its territories and reaffirm sovereignty, territorial integrity and inviolability of borders of Azerbaijan. These resolutions have not been fulfilled by Armenia so far. The decisions and resolutions of the UN General Assembly, the OSCE, the European Parliament, the Council of Europe and other international organizations have not been respected either.

Armenian aggressions must be condemned!

Source: Embassy of the Republic of Azerbaijan in the Republic of Croatia

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ECONOMY

Bailout Package Like Never Before European New Deal

U has adopted a package of anti-covid measures to help the states, which is sometimes referred to as the “Deal of the Century”, and which is as radical as it is expected. Or, maybe not so expected after all?

The package brings with it an unexpected generosity of fiscally conservative EU countries, as well as some conditioning parameters.

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of the pandemic. There were plenty of those who were dissatisfied during the catastrophic collapse of "normalcy" in life and the economy caused

by Covid-19, EU’s initial reaction was slow and sluggish, allowing the pro-Chinese and pro-Russian sentiments to develop and the mentioning of terms like Italexit, but now everything seems to be it resolved. The package that was

SINCE ORBAN IS IN THE EUROPEAN COUNCIL, IT WILL BE IMPOSSIBLE TO IMPOSE SANCTIONS ON COUNTRIES THAT DON’T BEHAVE “SUITABLY” HECTIC, BUT EFFICIENT The European Union was in a permanent and hectic session for 5 days. The result was an (un)expected compromise that put an end to all the threats with EU disintegration that hovered over the European project since the beginning

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adopted as an aid to EU member states is worth 750 billion euros, and in addition, a new multiannual budget of the European Union for the period 2021-2027 was adopted, which provides 1,074 billion euros.

This is a “two birds with one stone” situation, as it seems.

NORTH-SOUTH DIVIDE In the past, borders inside the EU were mainly placed between “Old Europe” and “New Europe”, i.e. along the East-West borders, along the Iron Curtain line from the period of Cold War. However, the borders is now clearly placed along the North-South line. The problem is that during the transition, Eastern European countries – at least some of them, managed to catch up with more developed countries in the West, but some Mediterranean countries, especially Italy, were the ultimate loser since the introduction of Euro, but Portugal or Greece experienced serious difficulties as well. We could add Spain to this equation, and thus recall the infamous anagram “PIGS”. Italy was hit especially hard, because it didn’t even reach the level from 2008, while Greece is at 75% of the level from 2008. That is why the expectations from EU’s

rescue mission were dramatically different. The South requested money, and the North which already had the money, requested stable finances.

That’s why the first plan with 750 billion euros included 250 billion euros of loans, which would be returned, and 500 billion euros in grants in this unprecedented crisis. However, Germany, the Netherlands, Denmark, Finland or Sweden, whose financial state was excellent and who didn’t even need aid in the form of grants to such extent, considered this to be too generous. These countries asked for more loans, and supervision of the “free money”, they asked for its spending to be monitored under a strict magnifying glass. The South asked for grant money to be distributed discretionary, and they also asked for the decision on this distribution not to be made in the North. The North pointed out that Italy or

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Spain are not known for stable governments or for smart decisions, and therefore they need a “tutor”. The South found this to be offensive.

THE OUTCASTS And the most disputable part was this: how to connect the aid with the old demands of "liberal" EU members towards "illiberal" members who are protesting against quotas for migrants, and against Brussels interfering in their affairs. The West called it "respect for the rule of law", and Hungary and Poland, which have been allies since the Middle Ages, which were the first to protest against the

THE COMPROMISE The compromise was made with loans taking 360 billion euros, and 390 billion was reserved for grants. The most liberal country of the EU which is also the most prone to migrations, the Netherlands, demanded that a clause be inserted so that funds could be stopped if a country did not meet the standards and reforms. There are suspicions that they were aiming precisely at Orban and Duda. Poland, which uses coal for heating and produces “dirty electricity”, was successful in excluding provisions according to which the countries taking funds from this financial

troducing blockade of funds to countries that don’t respect the law. Since Orban is in the European Council, it will be impossible to impose sanctions on countries that don’t behave “suitably”. Everyone seems to be happy.

THE REGION AND CROATIA The three newest EU members did very well: Romania received 80, Bulgaria 29 and Croatia 22 billion euro. Andrej Plenkovic triumphantly emphasized that this money is a guarantee for fast economic recovery of the country, which was hit hard by the devastating tourist

worse, but things have taken a turn for the better.

EPILOG The Economist states in their analysis that the 750 billion aid plan for “Next Generation EU” (NGEU) is “historical, but not a Hamiltonian one”. They say that “No one has proposed mutualising EU countries’ legacy debts; even the new common debt will not enjoy joint-and-several guarantees." The plan makes for 4.7% of EU’s GDP, but it is stretched over a period of several years, so it won’t be a problem. Italy will get a good deal, because together with Spain it will take 209

THE ECONOMIST STATES IN THEIR ANALYSIS THAT THE 750 BILLION AID PLAN FOR “NEXT GENERATION EU” (NGEU) IS “HISTORICAL, BUT NOT A HAMILTONIAN ONE” USSR, and now are the first to protest against "too much EU" in their backyard, were traditionally under fire. The possibility of denying these funds to states that have problems in the rule of law has appeared.

Viktor Orban was most furious, as the progenitor of the talk of "illiberal democracy". Brussels accused him of dictatorship and corruption, as well as of abuse of EU funds, and emphasized that they will be able to exclude him, as well as the entire country he rules, from the distribution of funds, because of his behaviour.

package would have to commit to reaching a neutral level of carbon dioxide emissions into the atmosphere by 2050.

The Netherlands also included the element that most of customs duties for import to EU will remain in countries through which import to EU is being performed, because most of goods are being imported to EU precisely through Netherlands. Hungary managed to neutralize the Netherland’s request, because the EU Council of Ministers and the European Council must be consulted when it comes to in-

season, after the decision that the central part of GDP will be obtained from tourism. 9.4 billion will be spent on funds from EU instruments for next generations, which means for repair of the economic damage caused by the coronavirus epidemic, while 12.6 billion is provided within the multi-annual financial framework. Another positive thing is the fact that Croatia expected a much bigger crash of the tourist season than planned, and that the current estimates show that 2020 will be at 40% of 2019, while expectations were much

billion of 750 billion euro aid package. The Netherlands got its “liberal” condition to punish the illiberals. Poland manage to avoid the sanctioning of its dirty technologies, Hungary managed to achieve that illiberals practically cannot be punished, and the South got a lot of money. European Union should get out from the Covid-19 crisis as greener, more robust and more digital. We hope that Croatia will also get out of this crisis equally greener, more robust against impacts, more digital, and not so dependent on tourism only.

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POLITICS

India-EU Strategic Partnership: a Roadmap to 2025 The 15th Summit between India and the European Union (EU) was held in virtual format on 15th July 2020 ndia was represented

by Prime Minister Shri Narendra Modi. The EU was represented by Charles Michel, President of the European Council, and Ursula von der Leyen, President of the European Commission. The leaders decided to strengthen the India-EU Strategic Partnership, based on shared principles and values of democracy, freedom, rule of law, and respect for human rights, aiming at delivering concrete benefits for the people in India and the EU. In today’s complex world, they, as the world’s two largest democracies, affirmed their determination to promote effective multilateralism and a rules-based multilateral order with the United Nations (UN) and the World Trade Organisation (WTO) at its core.

They will bolster their cooperation in international fora to reinforce international security, strengthen preparedness and response for global health emergencies, enhance global economic stability and inclusive growth, implement

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ties, of sharing information in a free, transparent and prompt manner, and of improving international response including through relevant international organisations, such as the World Health Organisation (WHO), drawing on lessons learned from the current global responses.

The leaders noted mutual

RESOLUTE AND COORDINATED ACTION IS KEY TO TACKLE THE GENERATIONAL CHALLENGE OF CLIMATE CHANGE AND ENVIRONMENTAL DEGRADATION the Sustainable Development Goals and protect the climate and the environment. In this context, the EU is looking forward to India’s G20 Presidency in 2022 and its membership in the UN Security Council in 2021-2022.

As the world is fighting the COVID-19 pandemic, the leaders agreed that global cooperation and solidarity are essential to protect lives and to mitigate the socio-economic consequences of the pandemic. The leaders emphasised the importance of strengthening our preparedness and response capaci-

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synergies in the field of healthcare through shared capacities, experiences and strengths in the production of pharmaceuticals and vaccines, healthcare research and development, diagnostics and treatment. They discussed prospects for global collaboration and sustained funding for developing and deploying and accessibility of effective diagnostics, treatments and vaccines to make them available to all at an affordable price. They called for the future COVID-19 vaccine to become a global common good. They agreed to intensi-

fy cooperation between India and the EU on health security and pandemic crisis preparedness and response, in particular linked to the COVID-19 pandemic. They underlined the importance of ramping up the manufacturing of vital medical supplies and of stepping up cooperation to ensure a continued flow of these supplies, agricultural products, raw materials and other goods and services across borders.

The leaders agreed to further develop their trade and investment relations to unleash their full potential particularly in the context of post-COVID-19 economic recovery and support sustainable growth and jobs on both sides. They reaffirmed their commitment to work towards balanced, ambitious and mutually-beneficial trade and investment agreements, opening markets and creating a level playing field on both sides.

They also agreed to establish a regular High Level Dialogue at ministerial level to provide guidance to the bilateral trade and investment relations and to address multilateral issues of mutual interest. The High Level Dialogue will aim at fostering

progress on the trade and investment agreements, addressing trade irritants and improving conditions for traders and investors on both sides as well as discuss supply chain linkages. India and the EU agreed to keep the global trading system open, with the WTO as the bedrock of the rules-based multilateral trading system and to step up cooperation to preserve, strengthen and reform the WTO. Their cooperation should address today’s challenges effectively, including post-COVID-19 economic recovery efforts with the objectives of a sustainable, socially just and resource-efficient economy. They will work together to make the twelfth WTO Ministerial Conference a success yielding concrete results in this regard. The leaders welcomed the G20 Action Plan to support the global economy and underlined the need to assist the most vulnerable countries. India and the EU will enhance coordination on global economic governance, notably in the framework of the G20.

They will continue working together to promote debt sustainability, including in the G20.

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Resolute and coordinated action is key to tackle the generational challenge of climate change and environmental degradation. The leaders reaffirmed their commitment to the implementation of the Paris Agreement including with regard to nationally determined contributions in line with this agreement. The EU informed about the submission of its long-term greenhouse gas emission development strategy and India will strive to submit its own strategy, as nationally determined.

The Leaders welcomed the ongoing cooperation between India and the EU under the Clean Energy and Climate Partnershi India and the EU will engage constructively in the global stocktake in 2023, the outcome of which shall inform the updating and enhancing, in a nationally determined manner, of the actions and support in accordance with the relevant provisions of the Paris Agreement.

India and the EU will reinforce their cooperation in the International Solar Alliance (ISA) to promote the deployment of solar energy, and in the International Platform on Sustainable Finance (IPSF) to mobilise private capital towards environmentally sustainable investments. The EU looks forward to cooperating with the Coalition for Disaster Resilient Infrastructure (CDRI) launched

by India to ensure that infrastructures are resilient to climate change. The Leadership Group for Industry Transition, launched at the UN Climate Summit 2019, is an important initiative to tackle the climate crisis. They also agreed to work closely together in developing an ambitious post-2020 global framework to protect biodiversity, to be adopted at the 2021 UN Biodiversity Conference. High-level dialogue will support mutual understanding and the definition of a common approach on these issues.

The leaders supported an ambitious mandate for an international chemical and waste management framework beyond 2020, for consideration at the fifth International Conference on Chemical Management in Bonn in 2021.

India and the EU will enhance their partnership in support of sustainable modernisation. They will boost

cooperation to support clean energy transition, resource efficiency and circular economy, and the necessary technological leaps, while opening new business opportunities. India and the EU will further develop cooperation on smart and sustainable urbanisation, information and communication technology, transport, space and health security. They agreed to jointly tackle water issues, air pollution, plastic and marine litter.

Exchanges on research and innovation will be increased to further underpin progress in these areas. The leaders welcomed the continued fusion research cooperation within the ITER project.

inclusive, sustainable, comprehensive, and rules-based approach to connectivity to ensure that projects are environmentally, socially and fiscally sustainable and provide a level playing field for businesses They recalled in this regard the importance of the G20 Principles for Quality Infrastructure Investment and the G20 Operational Guidelines for Sustainable Financing. They agreed to explore concrete initiatives, including a possible future comprehensive connectivity partnership, to improve connectivity between India and the EU and seek synergies between their cooperation on connectivity

leaders agreed to launch a dialogue on maritime security and consultations on security and defence, and to enhance naval cooperation. They underlined the need to preserve safety and stability in the Indian Ocean.

They welcomed the launch of negotiations on a working arrangement between the Central Bureau of Investigations and Europol to support law enforcement authorities of India and the Member States of the EU in preventing and combating organised crime and terrorism. They confirmed their full support to an open, free, stable and secure cyberspace, and their commitment to foster the responsible and liable behaviour of all the actors in the cyberspace. They underlined the need to increase global cyber resilience, including the health sector. India and the EU will continue to cooperate on international and regional issues of common interest including Iran and Afghanistan.

India and the EU reiterated their commitment to human rights, including gender equality and women empowerment in all spheres of life, and the importance they attach to their cooperation. In this regard, they looked forward to the next session as soon as possible of their dialogue to be held in New Delhi and supported enhancing in-

INDIA AND THE EU WILL BOOST COOPERATION TO SUPPORT CLEAN ENERGY TRANSITION, RESOURCE EFFICIENCY AND CIRCULAR ECONOMY, AND THE TECHNOLOGICAL LEAPS, WHILE OPENING NEW BUSINESS OPPORTUNITIES The leaders discussed ways to harness human-centric digitalisation to develop inclusive economies and societies.

They agreed to enhance convergences between their regulatory frameworks to ensure a high level of protection of personal data and privacy, including through possible data adequacy decisions, with a view to facilitating safe and secure cross border data flows between them. India and the EU will upgrade their dialogue and cooperation on technology. They will engage on 5G and artificial intelligence including to promote global standards and to foster their safe and ethical deployment.

The leaders agreed to jointly promote a transparent, viable,

with third countries including in the Indo-Pacific region.

They welcomed the ongoing activity in India of the European Investment Bank and the upcoming planned investments of â‚Ź550 million in the Pune and Bhopal Metro Rail Projects. India and the EU recognize the key role of the private sector and the importance of incentivising sustainable private financing.

They reaffirmed their strong commitment to global peace and security, disarmament and non-proliferation and to combat terrorism in all its forms and manifestations, including its financing and countering radicalization. India and the EU will intensify exchanges and cooperation in this regard. The

teraction in international fora, in particular the UN General Assembly and the UN Human Rights Council.

Leaders welcomed active people-to-people exchanges including among students, researchers, professionals, business persons & tourists as part of the implementation of the Joint Declaration on Common Agenda on Migration and Mobility (CAMM). They noted the progress under the High Level Dialogue on Migration and Mobility (HLDMM) to streamline the movement of people in both directions in line with applicable migration and mobility rules. They also encouraged cultural exchanges and educational cooperation between India and the EU.

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The Most Important Thing is to Respect the Prescribed Measures Efficient measures in fight against COVID 19 are basic and always the same: enhanced personal hygiene and hygiene of the premises, space between people, wearing masks, ventilation of rooms INTERVIEW

Asst. Prof.

KRUNOSLAV CAPAK MD, PhD Director of Croatian Institute of Public Health

epending on the epidemiological situation in a particular environment, it is possible that we return to higher levels of closure, through all already known measures we had until the reactivation in May, but with limited duration in regards to time and location, stated the Director of the Croatian Institute of Public Health Asst. Prof. Krunoslav Capak, MD, PhD, for Diplomacy & Commerce. He added that there are great challenges ahead of us regarding the beginning of the school year. Spreading of the virus to homes for the elderly and infirm and hospitals – the biggest concern.

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Croatian Institute of Public Health (CIPH) is the leading public health institution in the country and in the region. To what extent have the new circumstances caused by COVID 19 affected the reorganization of the Institute’s work and is there some new structure? How much is this a “special” situation in CIPH’s operations of?

— This is definitely a new situation in CIPH’s operations.

Even though we did have some different epidemiological or ecological threats in the past, like the outbreak of measles or floods, this pandemic cannot compare to anything else in terms of its intensity, influence on lives and health of people, and its duration. Workloads and demands made to CIPH have been extremely high for months. The biggest requirements are placed before the Department of Epidemiology, Department for Health Ecology and the Department of Microbiology, but all other Departments also jump in, each in their own field of work, but also to assist these activities.

The COVID 19 pandemic is still in progress, and it seems that

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THERE ARE MOMENTS THAT ARE CIVILIZATIONALLY UNACCEPTABLE, ETHICALLY DEEPLY QUESTIONABLE AND VIOLATE THE MORAL INTEGRITY OF THE INDIVIDUAL AND SOCIETY the epidemic isn’t staying still either. What new/old measures could we count on in the event of increase in the number of infected and how far in advance is it possible to anticipate measures given that the situation is changing from one day to another?

— In addition to general measures that should be applied always and everywhere, specifically in relation to infected persons, it is necessary to carry out early detection by performing tests, through isolation of such a person and determining contacts (persons who could be

infected by this infected person) and introducing health surveillance in self-isolation for contacts. Many human activities are the opposite of these basic measures at their core because they are based on closer social contact (sharing a room in a resort, staying in the same

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classroom, public transport lasting more than 15 minutes) or on communication/activities that do not allow wearing a mask (e.g. consumption of food and drinks is not possible with a mask, teaching children correct pronunciation either in education or in speech therapy, etc.). In relation to certain activities, social interactions and spheres of life, the only question is how these basic measures will be applied and whether the realization of a certain activity can be encouraged with maintenance of an appropriate level of security. At the same time, a lower level of security is necessary in an environment with fewer patients and without free circulation of the virus, while in environments with more patients and free circulation of the virus in the population, a higher level of security or more restrictions are necessary.

To what extent do tourist facilities adhere to the prescribed measures? How much are they respected closed areas and will the Directorate impose some sanctions on those who do not respect them?

— I believe that the managements of such facilities are responsible in their behaviour because they can cause a lot of problems and negative publicity for their facilities and their business in case of a disease, and especially in case of disease spread. This is a time when one should not resort to shortterm thinking. Everything that happens very easily ends up in public not only in our country but also in foreign countries.

All the negative experiences will eventually add up as well as all the positive experiences, and we hope they will remember us as reliable and responsible hosts after this tourist season. Generally speaking, we in the public health system believe more in education and encouragement, as well as in partnership with citizens - because our common future depends on this, than in sanctions. Although, the Law on Protection of the Population from Infectious Diseases provides sanctions in such and other situations.

What was the hardest thing for you personally in the midst of

the epidemic and what were you most afraid of? What was the "weakest" link in the protection chain?

— During this entire epidemic, I am most concerned about the possible spreading of the virus into the homes for the elderly and infirm as well as in hospitals. These moments happened in a way that they got out of control in the countries most affected by the pandemic. Italy is closest to us. In such situations, there are moments that are civilizationally unacceptable, ethically deeply questionable and violate the

tally condemns such choices.

For now, we can proudly conclude that everything unfavourable that happened in our hospitals and homes for the elderly and infirm, and even in the home in Vukovarska in Split, is actually rather minor in relation to the insidiousness of this infection and in relation to the number of people accommodated and employees in such institutions throughout Croatia.

The evacuation of the residents of the home in Vukovarska to KBC is actually an example of a well-coordinated action of

than summer. People are more indoors, it’s harder to ventilate the space, there’s not as much sunlight. That is why we are especially preparing for the fall. The CIPH particular deals with the procurement of influenza and pneumococci vaccines in order to protect the most at-risk population.

There are also big challenges ahead of us regarding the start of the school year. Admission of children in kindergartens and schools is not only necessary for the welfare of children but also for enabling parents to work. Fortunately, the

AUTUMN AND WINTER ARE MORE SUITABLE FOR THE SPREAD OF ALL RESPIRATORY INFECTIONS THAN SUMMER. PEOPLE ARE MORE INDOORS, IT’S HARDER TO VENTILATE THE SPACE, THERE’S NOT AS MUCH SUNLIGHT moral integrity of the individual and society: to choose whom to provide adequate health care due to insufficient health care workers and necessary equipment such as respirators, whom to provide proper meals and care when there are not enough employees to provide it to everyone because they are infected or in self-isolation, etc. The quality of life we have achieved in Croatia, the tradition of the welfare state especially in terms of affordable health care and social care for the most vulnerable, has developed us into a society that does not accept and fundamen-

the health and social sector, with the help of the Civil Protection Directorate and other services. We need to be aware that such action would not be possible in many of the countries we like to emulate.

What are the predictions for the fall? And how difficult will it be to curb the growth in the number of infected without the strict measures we have had, and how difficult will it be when flu patients, COVID 19 patients, etc. start to mix?

— Autumn and winter are more suitable for the spread of all respiratory infections

opening of kindergartens and schools since May 2020 has shown that measures to prevent the spread of the infection can work. Although we have had individual positive cases in children or kindergarten or school staff, so far we have not seen the spread of infection in terms of epidemic spread within kindergarten or school, and the issue of contact is mostly limited to a single educational group rather than the entire institution.

Even with this crisis, CIPH continues with its plans and operations. What are your priori-

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nation emphasize such views even to the point that vaccination is no longer necessary.

Until the pandemic, we were often in a situation to explain why it was important to have an epidemiologist preparedness system, well-developed microbiological and ecological laboratories and human capacities. Now this no longer needs to be explained to anyone, but we must work intensively to ensure that chronic non-communicable diseases are not neglected in terms of prevention, early detection and timely treatment. Some risks will inevitably worsen due to the very nature of anti-epidemic measures: physical inactivity, improper diet, consequent obesity, increased risk to mental health due to stress, fear and social isolation, job loss and the like. Special care is necessary in regards to sensitive groups, like persons with disabilities, as well as children and senior citizens. The need for improvement of public health statistics through computerization is constantly present because we cannot keep track of the situation without accurate data, we cannot determine public health priorities or make decisions about chang-

FREE VACCINATION AGAINST HPV HAS BEEN AVAILABLE THROUGHOUT CROATIA SINCE 2015, FIRST WITH A TETRAVALENT VACCINE AND THEN WITH A NONAVALENT VACCINE ties and plans in the upcoming period?

— Our buildings, especially one location, were damaged in the earthquake. Even before the earthquake, we had a lack of space for work and the fact that the buildings are older and extremely demanding to maintain. That is why we are prioritizing the matter of space.

In professional terms, CIPH is always on a seesaw between

chronic non-communicable diseases that are responsible for most deaths and communicable diseases that often seem to no longer be a problem and which we know we must always be vigilant about. Until this pandemic, one could often hear opinions that infectious diseases were minimized by the development of hygiene, sanitation, and proper nutrition. Opponents of vacci-

es. This pandemic also points to the importance of accurate and timely data. It is also necessary to further strengthen our new activities, which we accepted by merging three institutions with CIPH on January 1, 2019. They are toxicology, anti-doping, occupational medicine and the suppression of psychoactive drug abuse.

A free vaccine against HPV and

seven types of cancer for young people under 25 has recently become available. To what extent is the public informed about this, and to what extent, on the wave of information sharing regarding the COVID 19 virus, is it also possible to continue this for other activities of public health importance?

— Free vaccination against HPV has been available throughout Croatia since 2015, first with a tetravalent vaccine and then with a nonavalent vaccine.

Before that, individual cities and municipalities provided free HPV vaccination for several years. Due to the fact that we have a 9-valent vaccine for both girls and boys, we are one of the few countries in the world with such a possibility. In the last two school years, there has been an increase in interest in the vaccine, which is regularly reported to us by school doctors throughout Croatia, who are the main vaccinators against HPV. Since May, HPV vaccination has also continued, so we hope to continue to increase the coverage. The expectation of a vaccine against COVID-19 is a message to all of us how much we should appreciate the vaccine we have at our disposal and because of which we have forgotten about some diseases as a society (polio, diphtheria). We still have not yet covered most young people with the HPV vaccination, so we cannot hope that as a society that we will be able to end “cervical cancer, what’s that, we don’t have that anymore” in the foreseeable future. But for every single young person who is vaccinated with this 9-valent vaccine, we can be sure that if a girl does not get cervical cancer. Also, all of our vaccinated young people will be much less likely to have genital warts and another 5-6 cancer sites.

REGIONAL COOPERATION How important is regional cooperation in the Institute’s work, and in that sense international as well?

With which of the surrounding countries and in the EU do you cooperate the most and in what way — Traditionally, we mainly cooperate with public health institutes from the region, especially with the Slovenian one, as evidenced by the recent meeting we held to coordinate measures and act together.

However, it should be noted that public health institutes are constantly exchanging experiences, working together on strategic documents and plans, collecting and exchanging data, coordinating and coordinating actions, all via two platforms - the World Health Organization and the European Centre for Disease Prevention and Control (ECDC). This intensive international cooperation, exchange of good practice experiences, is at the core of public health development in all areas, related to chronic non-communicable diseases, communicable diseases, environmental and other issues important for the health and well-being of the population, and is not new in our daily work.

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ARRIVALS & DEPARTURES

NATIONAL DAYS

NEW CROATIAN GOVERNMENT VOTED IN After a debate that lasted the whole day, the Croatian 151-seat parliament gave a vote of confidence in Prime Minister Andrej Plenkovic and his second cabinet. Plenkovic said in his address to the parliament that his cabinet would immediately get to work and that he offered dialogue to the Opposition. Thus, 76 MPs, who make up the ruling majority, voted for the new government, and 59 voted against, with no abstentions. After the vote, Prime Minister Plenkovic and ministers were sworn in, except the new Justice and Public Administration Minister Ivan Malenica who is self-isolating after he tested positive for COVID. “We, as a parliamentary majority and the government, will endeavor to implement our programme in the next four years to the benefit of all Croatian citizens in the homeland and all those live outside Croa-

JULY

28

PERU

National Day

30

MOROCCO National Day

AUGUST tia,” said Plenkovic after his second cabinet won confidence in the parliament. He said that he offered dialogue to the Opposition and noted that some Opposition leaders “obviously misunderstood (his invitation for talks) a few days ago.” Nevertheless, we will have new opportunities, he added.

A majority of the Opposition clubs said in their concluding addresses before the vote on the new government that they would offer harsh but constructive criticism.

ALINA RUŽIĆ Zagrebacka pivovarna Management Board Member After two and a half years in position of the Legal and Corporate Affairs Director for Croatia and Bosnia Herzegovina, Alina Ruzic has been appointed member of Zagrebacka pivovarna Management Board. At the company, she is in charge of organization, coordination and supervision of operations of the Legal and Corporate Affairs Department, as well as the Internal and External Actions and Communications. At the regional level, she is responsible for legal and corporate affairs for Croatia, Bosnia Herzegovina and Slovenia. As of now, she will be responsible for the company’s overall operations. She came to Zagrebacka pivovarna from Coca-Cola HBC in 2013

LIANA KESERIĆ New CEO of Raiffeisen Bank (RBA) Liana Keserić was the acting CEO after the former CEO Michael Müller handed in his resignation in January after the discovery that RBA was looking for a PR agency that would pressure the Constitutional Court and other courts in Croatia in relation to the case of CHF loans. Liana Keseric was also the member of Management Board responsible for operations, IT and organization, as well as process and project management. She has been with RBA for almost two decades, and she also worked in the Transaction Operations Department, Client Relations Directorate, Support, Customer Relations Management and Alternative Channels Department.

NEVEN KAIĆ IN2 Group, Finance Sector The software company says that his task is to continue the development of IN2's offer in the financial sector, the development and implementation of existing financial software solutions, as well as acquisitions in this segment. IN2 Group has insurance, banking and corporate clients in this area who use its financial asset management solutions. Kaić joins the group from Zagreb’s Corellia advisory company.

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SWEDEN

Confederation Day

02

ORTH N MACEDONIA National Day

06

JAMAICA

Independence Day

10

ECUADOR National Day

14

PAKISTAN

Independence Day

17

INDONESIA

Independence Day

24

UKRAINE

Independence Day

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MALAYSIA National Day

SEPTEMBER

01

SLOVAKIA

Constitution Day

03

SAN MARINO Republic Day

07

BRAZIL

National Day

16

MEXICO

National Day

18

CHILE

Independence Day

21

ARMENIA

Independence Day

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by Vesna Vukšinič Zmaić

18 Years of SLO CRO Business Club Photos: Alenka Peterlin

It all began back to 2002, when the need for greater economic integration between countries arose CORPORATE

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Dr Saša Muminović, member of the management of AquafilSLO in Ljubljana and AquafilCRO in Oroslavje, became the President of SLO CRO Business Club in 2018 and successfully led it to adulthood

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t that time, all important Slovenian companies had their representative offices in the Republic of Croatia. These were companies - Kolinska, Mlinotest, Ljubljanske mlekarne, Droga, Perutnina Ptuj, MIP Nova Gorica, from the pharmaceutical industry - Lek and Krka, tourist agencies - Kompas, insurance company - Sava, or companies such as: Ilirika, Tomos, Mura, Polzela, Prevent, Istrabenz, Ciciban, Mercator, Merkur, Ljubljanska banka, Rog, etc. The Slovenian economy was at its peak.

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led it to adulthood.

It is important to say that SLO CRO Business Club continues to have excellent cooperation with the Embassy of the Republic of Slovenia in Zagreb, with ambassadors and economic advisers.

This year, the coronavirus surprised everyone, including the SLO CRO Business Club. However, we adapted and moved these projects online, so we organized a Deloitte webinar for members on the measures of the Government of the Republic of Croatia to help the economy. Tiko Pro offered information on how to

idemic, when each country fought against the spread of the virus in its own way, companies, entrepreneurs and craftsmen in the Slovenian regions of Dolenjska and Bela Krajina have been facing a ban on daily migration of Croatian workers to the area since mid-March.

On 15 April 2020, SLO CRO Business Club and the Chamber of Commerce of Dolenjska and Bela krajina sent a letter of request to the Department for Civil Protection of the Republic of Croatia, to re-examine the circumstances for opening the border to Croatian daily migrants working in

SLO-CRO BUSINESS CLUB CONTINUES TO HAVE EXCELLENT COOPERATION WITH THE EMBASSY OF THE REPUBLIC OF SLOVENIA IN ZAGREB, WITH AMBASSADORS AND ECONOMIC ADVISERS The first president of the Business Club was Lidija Žderić, and after her the presidents were Ignac Rupar, Tomaž Kačar and Goran Berić.

Dr Saša Muminović, member of the management of AquafilSLO in Ljubljana and AquafilCRO in Oroslavje, became the President of SLO CRO Business Club in 2018 and successfully

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obtain funding through calls for project proposals, we attended the webinar of Tetida Company on the importance of digital marketing, webinar on the topic of work relations and business support was prepared by Crowe Company, and these are all members of the SLO CRO Business Club.

At the beginning of the ep-

the area of Dolenjska and Bela Krajina. Shortly afterwards, we were pleased to receive the news that as of Monday, 20 April 2020, Croatian daily migrants can cross the border freely to go to work.

In the border areas of Slovenia, in some companies migrant workers of various occupations make up from 10 to

60% of all employees!

Slovenia is by default one of the most important partner countries in the total trade of the Republic of Croatia - in 2019, export and import accounted for about 11% of total export and import.

It is clear that this year's economic balance will be affected by the corona crisis, it will be different than before. It turned out that geographical proximity of the two economies was extremely important in the corona crisis. A common history, cultural and religious similarity and the sociological aspect of dependence - is the foundation for which Slovenia and Croatia should unite in the global market.

In his speech on 24 June 2020, at the opening of the Glamping Village Resort in Terme Tuhelj, Minister of Economy of the Republic of Slovenia Zdravko Počivalšek confirmed that the SLO CRO Business Club is an extremely important factor for maintaining and advancing economic cooperation between countries.

Below is an overview of significant events at the SLO CRO Business Club in the past year.

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Minister of the Economy of the Republic of Slovenia Zdravko Počivalšek, Minister of Development, Construction and State Property Darko Horvat

Meeting of the Ministers of Economy of the Republic of Slovenia and the Republic of Croatia Zdravko Počivalšek and Darko Horvat is one of the more significant events organized by the SLO CRO Business Club, held last year at the Mokrica Castle in Slovenia, near the border with Croatia. This was the first meeting of economy ministers of the two countries after a long time, in front of a large economic delegation on both sides of the border.

A reunion and the economic forum planned for March 2020 in Terme Tuhelj was postponed because of the pandemic.

A new reality – living with coronavirus and adaptability On Wednesday, 01 July 2020, in Terme Tuhelj, the SLO CRO Business Club or-

ganized the first meeting on the topic of coronavirus crisis. Guests at the panel coordinated by the President of the SLO CRO Business Club, Dr Saša Muminović, were: Branko Roglić, President of Supervisory Board and owner of the Orbico Group, Davor Majetić, director of the Croatian Employers Association, and Matija Kopić, co-owner and founder of the Gideon Brothers start-up company.

Magles from Celje and Meditex from Zabok implemented measures in accordance to recommendations of CNPHI. The coronavirus crisis was the main topic of conversation, and the central question for all the guests was how they coped with the crisis and what, according to them, the new reality brings.

Economy will not survive another lock down. We need to learn to live with the coro-

navirus – this is the new reality, Branko Roglić said. The guests agreed that the crisis has encouraged the development of digitalization of jobs, work is no longer tied to an office (remote), so the company's costs are reduced, and it has also brought opportunities in the robotics and automation industry. The guests shared experiences and recommendations with members of the Club about how to do business in the corona crisis, as well as thoughts - how to proceed from here.

An extremely interesting meeting ended late in the afternoon with lunch and socializing on the terrace of the Mihanović castle.

Cybercrime and preventive measures, topic of the roundtable organized by SLO CRO Business Club, is still an ongoing issue.

The experts’ message is that, since all of us users of digital technology are a potential target of cyber-attacks.

"There are people whose job is to look for errors in security systems for eight hours a day, so that they can get to valuable data of companies or individuals," said Davor Kodrnja, representative of the global IT company Symantec.

That this is the case was confirmed by a recent public announcement made by the Ministry of Internal Af-

fairs that organized criminal groups enter the companies’ e-mail correspondence and obtain high amounts of money through false messages and fraud.

Securing a company against a cyber-attack is a good solution, especially if the company is already investing in security, stated Ognjen Radulović from MAI brokerage company.

Workforce trends before and after coronavirus At the beginning of this year, SLO CRO Business Club and Profil Grupa organized an extremely interesting business breakfast on the topic of workforce. Director of Croatian Profil Grupa Mirjana Pajas introduced us to trends in the field of recruitment. We heard a number of reasons as to why Croatia is just one step away from importing workers from eastern countries. Five months later, the situation is completely different, people and companies are out of work. However, once the coronavirus slows down, and the economy recovers - there is a strong chance that the problem will return.

Webinar: Digital marketing-trends you don’t want to miss out on If you think that digital marketing can be done by one person - you are wrong. This area requires a wide range of differ-

Branko Roglic, President of the Orbico Group with Davor Majetić and Matija Kopić

Davor Kodrnja, representative of the global IT company Symantec

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Ambassador of the Republic of Slovenia to Croatia Vojislav Šuc

Osiguranje has been a sponsor of the Croatian Basketball Association since last year. The SLO CRO Business Club has prepared a conversation with the President of CBA Stojko Vranković and the coach of the Croatian national basketball team Veljko Mršić. A round table on the topic of economy in sports was chaired by sports journalist Marko Šapit, and Triglav Osiguranje launched a new TV spot with young Croatian basketball stars for the first time at the event.

SLO CRO Business Club is financed through membership fees and by applying to the tender of the Slovenian

Public Agency for Entrepreneurship, Innovation, Development, Investment and Tourism - SPIRIT. The support of our sponsors Intereuropa and Pošta Slovenije is also extremely important to us.

We are extremely proud of our sponsors, who helped with their knowledge, abilities and courage during this difficult period.

For many companies, large and small businesses and individuals, the smooth operation of the post, post offices, parcel and goods delivery services were vital to maintaining the business during the corona crisis.

Ivana Kolar, initiator of SMART TOURISM 5.0 virtual meetings

Digital marketing: more you invest in it - the more it comes back to you

ent knowledge, so the more you invest in it - the more it comes back to you - said Simon Ferjuc, Director of Tetida, member of the SLO CRO Business Club. In this period where we are faced with coronavirus, understanding and using digital marketing is more important than ever.

Smart Tourism 5.0 Reflections, predictions and recommendations of tourism experts, consultants, bloggers and in-fluencers on how to do business during the corona crisis were the topics of SMART TOURISM 5.0 virtual conference co-organized by SLO CRO Business Club, which took place on a Tuesday, early May, with more than 1250 people attending it live from about 15 countries.

Ivana Kolar, initiator of SMART TOURISM 5.0 virtual meetings, said that it is primarily necessary to accept the changes, understand that some habits, demand and ultimately processes will change perma-

18

nently, and that standards and rules of conduct should be prepared because the most important prerequisite for the arrival of a guest will be safety.

The Second Virtual Conference on tourism, held on 17 May 2020, brought together a number of experts from the region and 24 countries around the world to present business in the "new normal".

Maja Pak, Director of Slovenian Tourist Board, also presented her vision of the current situation in tourism and predictions for the future of this sector: "I believe that support measures, supply adjustment and marketing will help the industry recover and that tourism will emerge from this crisis even more sustainable and more resistant.

Veljko Mršić, coach of the Croatian National basketball team, Stojko Vranković, President of CBA, with leading members of Triglav Osiguranje and Saša Muminović, president of SLO CRO Business Club

Triglav Osiguranje sponsor of Croatian national basketball team A long-time member of the SLO CRO Business Club Triglav

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Photo: Ivana Kolar

Leading members of Profil Grupa from Ljubljana, Zagreb and Belgrade.

Arctic Business Incubator September issue of Fika Talks: CEO of Arctic Business Incubator

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FIKA TALKS

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very first Friday in a month everyone can join 30 minutes online Fika Talks - discussions with experts from Sweden on different topics.

Embassy of Sweden in Croatia, with other co-organizers, launched Fika Talks in June 2020, as a series of discussions touching on various relevant business, socio-political, and environmental issues.

First guests were Mattias Frumerie, the chief Swedish negotiator for Climate at the UN and Danica Kragic Jensfelt, AI and robotics researcher from Royal Institute of Technology in Stockholm. The third Fika Talk on Friday 4 September will host Jens Lundström, CEO of Arctic Business Incubator to discuss how business incubator in Arctic became the 7th

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best in the world. The guest on October issue of Fika Talk will be Helena Samsioe, who was among Forbes World's Top 50 Women in Tech is running the world's first AI drone delivery service and helping human-

itarian organisations to better manage natural disasters.

Fika is the Swedish concept of taking a break in the day to drink a cup of coffee, sometimes with a small sweet treat, and connect with each other.

It is not so much about having a coffee or a cookie, but more about informally meeting other people to get to know them and build trust.

Join Fika Talks on email: registracija@pwn.hr.

Making Ideas Extraordinary! id you know that Arctic Business is the world's 7th best incubator and affiliated with Luleå University of Technology?

At Arctic Business, help you to turn your ideas into an extraordinary ideas. They support you with everything that makes your business reach an international market and grow - from financing and recruiting to expanding your business plans. And, if you have an idea that qualifies into our space incubator ESA BIC Sweden you will get extra benefits! Up to 500,000 SEK for product development and great technical experts in space industry.

In 2019, they met 180 ideas and innovators from Norrbotten, Västerbotten and all across the world.

40 of these were selected to work with them in Accelerator program for 3-9 months. 7 of these were selected to join Incubator for 2 years ahead. As of today, the Incubator supports 22 companies. Throughout 2019, 5 of our startups left the nest. The startups raised a grand total of 80 million SEK in funding, through venture capital, bank loans and other means.

Through the Incubator You and

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Your team will get personal advice from our experienced business advisors during up to 2 years time. Based on your needs we help you with: • First investment - you will get an investment from an Angel investor company taht is managed by us (300 000 SEK) • Funding – Support and help with planning and attracting further fundings from VC, bank, other loans or contribution.

• Sales – Price and business model, negotiation and market analysis, we help with everything.

• Team and network – Together we will build a strong and effective team around you, both person-

nel, managers and board members. We work hard with you to strengthen your team.

• IPR – We will help you understand how you can protect your idea and how to conduct yourself with regards to laws and regulations, as well as any patents and licenses.

• Marketing – If they can't find you, you don't exist. Together we create effective marketing in various channels.

• Office and equipment – We have a number of cost-effective offices in the locations where we operate, with access to 3D-printers, maker-space, modern environments with good meeting places etc.

Incubator evaluate all applicants and businesses according to following parameters: • Knowledge and innovation – new and innovative idea, can be new technology, a new business model or something else.

• Business model – clear export potential, direct or in the near future. Will turn over > 10 MSEK within a few years.

• Fundings – have a plan and the ability to attract the fundings needed.

• Team – at least 2 people, dedicated to the business and with the right competences to take the business to next level.

• I PR – Clarified IPR situation, freedom to act and perhaps even protect.

• Business – Limited company based in Skellefteå or further north (maximum 5 years old or started directly upon admission).

• Agenda 2030 - we want you and your company to contribute positively in some way to United Nations Agenda 2030 goals.

• Presentation of idea – present you and your idea in a good way.

• R eferences – from previous co-workers or managers.

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SAAB - A Synonym for Quality and Safety Born smart and built on military heritage, SAAB uses intelligent and cost-effective solutions in the different areas, while increasing global competitiveness level and backing Sweden in its status of EU innovation leader CORPORATE

SAAB

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he well-known Swedish business model, based on openness, equality and diversity, has created a highly dynamic environment where more than 17 thousand SAAB employees in 35 markets dare facing risk and innovation. A quick look at the company’s long history of generating some of the world’s most successful technological products is proof enough. Although primarily military-based, during more than 80 years they have helped create Sweden’s

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SAAB became a well-known global brand and a synonym for security. We all know that making society secure could not be possible without trust, expertise and drive - SAAB core values that have been inherited through decades and handed to future generations. All these concepts became the deeply ingrained principles that guide the company's actions and serve as cultural cornerstones. Being an innovation and technology leader from the very beginning implied leaving conventional

FOCUSED ON INNOVATION, SUSTAINABILITY AND COCREATION, SAAB BECAME A WELL-KNOWN GLOBAL BRAND AND A SYNONYM FOR SECURITY computer, missile and space industries - all the while introducing world-leading technology every step of the way.

Keeping up is not enough, SAAB is always keeping ahead having world-class innovation capacity Focused on innovation, sustainability and co-creation,

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thinking, as well as continually pushing boundaries and breaking conventions to safeguard our way of life. That proactive mindset has been built into the foundations of SAAB’s vision and SAAB has been making it possible through systems and solutions that increase security for generations. As a result of the sequence of extraordi-

nary technological challenges throughout the years, SAAB has constantly pioneered new technology and enhanced customers’ capabilities which in turn have driven and developed SAAB into a global innovation powerhouse from Sweden. Investing approximately 25 percent of sales in research and development, they have been making sure that whatever trends emerge, they can quickly evaluate them and develop the right product or solution, thereby strengthening the company’s competitive position.

On land, at sea, in the air or between cyberspace and real space, safety cannot be taken for granted Although business and society are eagerly embracing positive results of the enormous impact and the rapid change of technology on an international and global level, they are often leaving future perspectives that can be intimidated by divergent threats aside. Fortunately, no matter how quick-

ly the world changes and how fast threats can evolve, the global, highly technological corporate giants like SAAB are using their knowledge and technology to create innovations for people who safeguard us on a daily basis. Nowadays, security and trust are spanning the physical and the digital, as the frontline of safety is constantly shifting. The threats are no longer constrained by national borders and can be created as a result of substantial and accelerated transformation of habits. As the ally of military and security professionals, SAAB remains dedicated to one aim – keeping people and society safe. Mainly serving the market of governments, authorities and corporations with products, services and solutions ranging from military defence to civil security, they are shaping a defence and security offer with great depth and width.

Despite the fact that there is uncertainty around the global defence and security market, SAAB is successfully challenging the biggest companies. As many competitors with the same portfolio remain entrenched in their domestic markets, SAAB is successfully taking advantage of innovative and cost-efficient solutions as the key factors for continued success in a changing market. Gripen, as a flagship product, is just one example of how they are breaking new ground, both technologically and from a cost perspective. Only a few nations in the world have mastered the ability of bringing together the systems needed for a modern fighter aircraft, Sweden being one of them. It is the world's most advanced operational multirole fighter aircraft combining high performance with low life-cycle costs, the efficiency of which is based

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on the evaluation of technical changes that allow them to accelerate the fulfilment of set goals and those that could jeopardize this achievement.

Unique offerings and a wide portfolio of innovative and cost-effective defence and security solutions – the core of a business’s creation of value As the majority of the company employees are engineers, SAAB is constantly evolving and growing as a world-class business with a diverse portfolio and sights set firmly on the future. Besides organic growth,

there were a few acquisitions in the last two decades that brought together a broad base of knowledge and innovative thinking. SAAB's strategy is to concentrate product development on five core areas: aeronautics, advanced weapon systems, command and control, sensors and underwater systems, leading the market for combat fighters, traffic surveillance systems and tactical weapons. As SAAB's customer base diversifies, from military to civil portfolio, their technology becomes more frequently used for strengthening combat readiness but also at locations such as airports, seaports, prisons, hospitals, city centres, and for securing major events such as the 2010 FIFA World Cup and 2012 Olympics.

In fact, 50 percent of all air traffic management operators are using SAAB technology today.

What is more, they are working closely with leading commercial aeronautics manufactures like Boeing and Airbus to develop fuel-efficient composites. SAAB continues to develop and evolve outstanding products like CarlGustaf man-portable multi-role weapon very popular among the USA forces in Afghanistan and many others, Erieye radar system for military and civil needs, Gripen multi-role fighter aircraft, Barracuda mobile camouflage system, RBS 70 NG man-porta-

the box and has a firm belief in investing in local businesses and industries. They are more than willing to share their technology, ideas and thinking, resulting in mutual benefit, better outcomes and common goals. With this open-minded approach and a culture of adaptation, SAAB has become a true, long-term business partner and a supportive collaborator to many different countries around the world, such as Australia, Brazil, Hungary and Thailand. With employees in 35 countries around the world, they are developing better customer insights, building strong-

challenges, the results for the first half-year were in line with the last, and showed a strong performance in the second quarter driven by good project execution and increased deliveries in several business areas.

Positive outcomes emerged from the perennial approach of openness to change and commitment to being fast and flexible, as an unavoidable part of business strategy that distinguish SAAB from its competitors. Effectively utilised modern technology for interaction with existing and new customers enabled further increases in orders and successful execution

SAAB IS SUCCESSFULLY TAKING ADVANTAGE OF INNOVATIVE AND COST-EFFICIENT SOLUTIONS AS THE KEY FACTORS FOR CONTINUED SUCCESS IN A CHANGING MARKET ble air-defence system, Remote Tower that can fully operate a military or civil airport from a remote location, A26 submarine and much more.

er business partnerships and working closely with customers, tailoring offers and products better, faster and according to their needs.

True collaboration with partners leads to better solutions A key factor in navigating this challenging market is getting closer to the existing and potential customers. Besides using innovative production, services and solutions they also use an approach tailored to the partner’s needs and finetuned with their world and culture. SAAB is thinking outside

Despite the COVID-19 outbreak, the first half of 2020 is marked by strong orders and continued good profitability Manufacturing, merchandising, fulfilment, shipping, and especially order bookings and payment claims, have been a major concern of all market giants for the past several months. The situation with the COVID-19 pandemic affected SAAB as well, but despite all

of the set key milestones. In the meanwhile, the ongoing situation activated many measures that were taken to adjust costs in operations that have been adversely impacted.

The journey to a new normal will be challenging, but with a well-known pragmatic approach to problem-solving, innovative thinking, and a strong order backlog which continues to support a significant portion of this year’s expected sales, we expect nothing more than finding an edge to stay ahead and deliver enhanced and sustained solutions.

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BUSINESS NEWS

Privredna banka Zagreb (PBZ) DINKO LUCIĆ, NAMED A WINNER OF THE PRESTIGIOUS CEO TODAY EUROPE AWARDS 2020

Crystal Idea CROATIA’S ITHERAPY INNOVATION WINS GOLD FOR PRODUCTS AGAINST CORONAVIRUS

Croatian company “Crystal Idea” from Split has been awarded the Gold Medal among 202 competitors from 35 countries in the “Inventions VS Corona” competition for its device to filter the air in iTherapy rooms. This is a Croatian patent that deactivates bioaerosols, bacteria, and viruses in closed premises and prevents them from spreading. At the same time it enhances the air with negative ions and anti-oxidants. The competition was organised by the International Federation of Inventors Association (IFIA), a global platform for invention and innovation and enthusiasts established in 1968. The device invented by Crystal Idea has been on the market since 2016. Crystal Idea director,

Dinko Lucić, President of the Management Board of Privredna banka Zagreb (PBZ), member of the Intesa Sanpaolo Group, has won for the second year in a row the prestigious CEO Today Magazine Europe Awards 2020 in Croatia for his outstanding contribution to the representation of Privredna banka Zagreb. Every year the CEO Today Europe Awards recognise strong and innovative leadership amongst business leaders operating in Europe. On the occasion of the announcement of the CEO Today Magazine Europe Awards 2020, Mr Dinko Lucić, President of the Management Board of PBZ, said: ‘I am exceptionally proud of this special award, which provides confirmation of the success of the whole team of the PBZ Group. I believe in this country, our people, and especially my colleagues as we all work together to give a top-notch and recognizable output, especially in innovations, which makes us successful in the wider area. It is well known that I always underline that people make the difference and I would like to take this opportunity to thank all our employees for their contribution, but also our clients, who make us strive to become even better“. CEO Today Europe Awards research team and judging panel has recognized a number of achievements of Mr Lucić and PBZ over the past twelve months. Achievements range from growth in revenues and/or profits, turnaround transformation, good performance in difficult times for the economy and industry, expanding onto new markets, leading market share, successful M&A integration, new products and services, new business model and strategy, etc.

To view the awards publication please visit: https://europeawards.ceotodaymagazine.com

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who is also a member of HGK’s community for innovations, Inga Kovacic Sindik underscored that the motivation to develop the device was both health and ecologically inspired. “Notably, alongside the well being of the individual, we have to be aware of climate products and increasing air pollution which impacts our daily physical and mental state,” Kovacic Sindik said. The idea emerged by researching the market for available filters given that products until then could not meet two important functions simultaneously: purifying internal air from the greatest pollutants while at the same time being adapted for use in residential or commercial premises, hotels, hospitals and the like.

Croatian Tourism Association CROATIA RECORDS 1.5 MILLION TOURIST ARRIVALS IN FIRST 20 DAYS OF JULY

In the first 20 days of July Croatia recorded over 1.5 million tourist arrivals and over 11 million nights, which was half the arrivals and nights this year so far, the Croatian Tourism Association (HUT) said.

This year Croatia has logged over 3.2 million arrivals and over 18 million night.

HUT says in its “Croatia Tourism & Travel Weekly” newsletter that last week saw nearly five million nights, with over 630,000 per day recorded over the past four days.The Croatian coast has the best

epidemiological situation this month, as evidenced by the rise in the number of tourists along the whole coast, including Dalmatia, according to the newsletter.

Of the coastal counties, Zadar is recording the best results, having reached 62% (200,000) of last July’s arrivals and 67% of nights (2 million).The most numerous foreigners come from Germany, followed by Slovenia, the Czech Republic, Austria and Poland.Open at the moment are 802 hotels and 407 campsites.

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Croatian Chamber of Commerce EXPORT OF CROATIAN AGRICULTURAL PRODUCTS RISES BY 5%, IMPORTS BY 1% In the first four months of 2020, Croatia exported €708 million worth of farm and food products, up 5% on the year, while imports went up 1% to €1.07 billion, resulting in a 5% lower trade deficit. The export-import ratio increased from 64% to 66%. “We are pleased with the export increase of some €30 million as it indicates the potential of our agriculture,” HGK president Luka Burilovic said in a press release. Still, Croatia continues to have a high trade deficit, notably in meat, milk, fruits and vegetables. “We

Lufthansa 30 WEEKLY FLIGHTS TO FIVE DESTINATIONS IN CROATIA IN AUGUST

must change the production structure and raise productivity as the agriculture sector is of strategic importance for our economy, notably in crises like this one,” said Burilovic.Over the first four months of this year, Croatia recorded the biggest surplus in cereals, exporting €47 million more than it imported. The exchange of fish saw a €40.5 million surplus and the export-import ratio was almost 230%. A surplus of over €15 million was recorded in the exchange of oil seeds and oleaginous fruits.

Germany’s largest airline Lufthansa will operate 30 weekly flights to five airports in Croatia in August, Croatian Aviation reports. During August, the airline will operate regular flights from Munich and Frankfurt to Croatia. The Munich – Rijeka route has been canceled for the entire summer season, while Lufthansa is still not operating flights on the Frankfurt – Zagreb route, but Croatia Airlines is flying regularly on both routes.

Bakin’mix PRESTIGIOUS INTERNATIONAL AWARD Croatian National Bank CROATIA’S GROSS INTERNATIONAL RESERVES REACH €15.7BN Croatia’s gross international reserves reached €15.7 billion at the end of May 2020, declining by 1.5% from the previous month and by 15.2% from May 2019, according to data from the Croatian National Bank (HNB). The marked decline in international reserves in March, April and May is a direct consequence of the COVID-19 pandemic and an accompanying near-total economic lockdown and depreciation of the domestic currency, to which the Croatian National Bank re-

sponded with interventions on the foreign exchange market to preserve the stability of the kuna-euro exchange rate, Raiffeisen Bank (RBA) says in its analysis of the HNB data. According to the HNB, the fall in reserves in May was the result of foreign currency sales to banks outside of auctions and a lower amount of repo operations agreed. The latest central bank data for July 10 shows that international reserves have increased to €17.6 billion.

Staša Brozina and Veronika Uravić Čolak from Rijeka in Croatia have won one of the most prestigious design awards in the world. Staša and Veronika won the Red Dot award in the communication design category for their packaging design for the Croatian brand Bakin’mix. Croatian brand Bakin’mix is a gluten-free mixture for bread, pastries and cakes, which was developed in Croatia in cooperation with nutritionists and experts. The packaging was designed by Uravić Čolak from the design studio Reedesign Studio Rijeka. The Red Dot Award is the world’s most sought-after design quality label. The awards rewards work in 17 categories and 36 industries and have been awarded since 1955. Vest This year a jury of 24 experts in the field of communication design judged the Red Dot Awards, and Bakin’mix was awarded in a competition of 6,992 works from around the world.

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Croatia – Quality and Safe Tourist Destination Considering the circumstances, tourist traffic in line with estimates and forecasts INTERVIEW

sults we achieve in this main part of the season, i.e. in July, August and September. This is the period of the year when most tourists stay in Croatian destinations, i.e. when we record about 60 percent of the total tourist traffic. We will remain within the estimates from the beginning of the year of achieving about 30-35 percent of last year's record-breaking result, which would be a great success. We hope that we will achieve good results in the off-season, especially in the second half of September and October, during which we could achieve a result much better than a third of the turnover from the same period last year. Of course, everything will depend on further development of the situation, both in Croatia and at the European and global level. For now, we are satisfied with the market position we have taken as a quality and safe tourist destination.

KRISTJAN STANIČIĆ Director of the Croatian Tourist Board

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he global coronavirus pandemic brought many changes to the lives of people worldwide, and it was also reflected in all the areas of activity, among which one of the most impacted fields is precisely tourism. Until two months ago, it was hard to imagine that there would be any tourist traffic in the country,

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We are living with COVID 19 and it seems to me that we are adjusting to new circumstances. We also know that tourism was impacted by the crisis the most. According to the latest data you have, even though they are changing on a daily basis, how many arrivals and overnight stays were recorded by now in Croatia?

EVERYTHING WILL DEPEND ON FURTHER DEVELOPMENT OF THE SITUATION, BOTH IN CROATIA AND AT THE EUROPEAN AND GLOBAL LEVEL and today we have almost 700.000 tourist stays in the country every day, which makes us one of the few countries in the Mediterranean that currently has tourist traffic, and it’s getting more intense by the week, stated the Director of the umbrella tourist institution in the country, Kristjan Staničić, for our magazine.

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— From the beginning of the year to the July 23, there were about 3.4 million arrivals in Croatia and more than 20 million overnight stays, which is about 42 percent of last year's result measured by overnight stays in the same period. When we talk about foreign markets, most of our guests come from Germany, Slovenia, Austria, the

Czech Republic, Poland and Italy, and we also notice an increase in the share of domestic guests in the total result. Given the circumstances, we can be satisfied with the current tourist traffic, which is in line with our estimates and forecasts.

How many arrivals and what income do you expect in these key summer months and how big of a drop would it be compared to last year?

— Since the global epidemiological situation is changing every day, it is rather ungrateful to give forecasts about tourist trends in the upcoming period. However, the fact is that tourist flows have started and that people have started to travel in accordance with the new circumstances. From the very beginning of the global pandemic, we emphasized that the overall tourist result this year will mostly depend on the re-

HTZ initiated several interesting campaigns in the new situation. What are these campaigns and for who are they intended?

— From the very beginning of the pandemic, our communication was very intense, with different contents and messages. In the midst of the pandemic, when promotional campaigns and other activities were stopped, we maintained Croatia's visibility in foreign markets primarily through activities on social networks, while at the moment some intensive promotional campaigns are underway in our key European inbound markets, and this will last until the end of August. In the markets that see Croatia as a road trip destination, we advertise through the campaign titled “The vacation you deserve is closer than you think”, and we can already see its results from the number of arrivals of guests from Germa-

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ny, Slovenia, Austria, Czech Republic, Poland and others.

In distant, primarily non-European markets, we promote our offer via the communication platform “Enjoy the view from Croatia“, which is based on content placement on Instagram platform and advertising of the same. Throughout the year, we will also maintain intensive advertising on Google search in a large number of foreign markets, given that the phase of searching for inspiration for travel is one of the key moments when we can provide the user with adequate information. We also initiated a brand campaign on the domestic market in order to encourage as many domestic guests as possible to spend a well-deserved vacation in Croatia, and in the fall we plan to launch a campaign titled "A week worth of vacation" (Tjedan odmora vrijedan) which refers to the domestic market, and its goal is to extend the tourist season through the placement of favourable offers for accommodation and other tourist services, which will make traveling around Croatia even more accessible and attractive to the local population.

How much more difficult is the work of local tourist boards and how much do they help each other out in the new circumstances? How big is the difference in the number of visits between different parts of the country?

— Aware of the degree to which the global coronavirus pandemic has had an adverse effect on tourism, and thus on Croatian destinations and the system of tourist communities, as the a responsible institution in charge of promoting Croatian tourism worldwide, we initiated some the amendments to the Annual Work Program and Financial Plan, therefore, among other things, the new plan has provided funding for joint promotional activities that we will carry out in cooperation with tourist boards of the counties.

We also regularly informed the entire system about the situation on the markets, and we also suggested certain financial changes on the expenditure side of the budget in order to provide liquidity for tourist

boards. I believe that if we join forces, we can reach creative and adequate solutions aimed at promoting Croatian tourism and strengthening the entire tourism sector. Regarding the analysis of results by tourist regions, we notice that traffic is most intense in the regions of Istria and Kvarner during June and July, which was certainly contributed by the proximity of key European markets and good transport links by road.

As the first more intensive airlines started operating in July,

portant if we keep in mind the fact that the average consumption of yachtsmen is significantly higher than that of "other" guests. It is clear that this is a segment of Croatian tourist offer that should be intensively promoted and used as one of the basic image attributes within the framework of national communication strategy. For this reason, we put nautics, along with other tourist products, in the focus of our promotional activities, i.e. campaigns that we

France, but also against Greece or Turkey, which are primarily flight destinations.

What do you think are the challenges of the period ahead and what we should pay attention to in our plans for the next year, if they are possible?

— The global coronavirus pandemic initiated an entirely new market game, and in further processes, the upcoming years will be crucial, with emphasis on the year 2021. We are already working on projects and activ-

AT THIS MOMENT, MOST WANTED ON THE MARKET IS THE ACCOMMODATION IN RURAL TOURIST HOUSEHOLDS AND CAMPSITES, WHOSE CONCEPT FACILITATES THE COMPLIANCE WITH EPIDEMIOLOGICAL MEASURES which will operate during August and September as well, we notice that tourist traffic in the destinations of central and southern Dalmatia is getting stronger as well.

Which branches of tourism industry do you see as the ones that will feel the crisis the least?

— At this moment, most wanted on the market is the accommodation in rural tourist households and campsites, whose concept facilitates the compliance with epidemiological measures, and we also noticed a growth in demand for higher category hotels since we are at the peak of summer season. By looking at tourism products, for the same reasons, the most sought after are the products such as nautical and active tourism, precisely because they can provide guests with a much-needed sense of security in these times. Nautical tourism is even more im-

initiated in early June in seven key European markets, including, for example, Germany, Slovenia, Austria, Czech Republic, Poland and others, and we are conducting the campaign in additional markets such as Italy, France, the Netherlands, Belgium and others, until the end of August.

How do you estimate the competition’s offer in the Mediterranean, and what are the main trump cards of Croatian tourism compared to them?

— In these market conditions, our greatest comparative advantage is Croatia’s availability for road trips from Europe’s large inbound markets, as well as the diverse structure of accommodation capacities, preserved nature and a satisfactory epidemiological situation. We have the upper hand against our competition, especially if we take a look at the situation in Italy, Spain, Portugal or

ities that will ensure our visibility and good tourist results in the next year. For example, we appear intensively at online fairs with an emphasis on the Chinese market, which will definitely play an important role in global tourism trends in the future. Final negotiations are underway for us to become a partner country of one of the most important tourism fairs in Europe next year. We are ready for joint promotional activities with partners, agencies, tour operators and airlines, which we invite to cooperate with us this year and especially next year, and there is great interest in this. We will strongly focus our activities on digital marketing and targeted presentations, and since we expect the growth of domestic tourism in the overall result in the future, we also plan stronger promotion of tourism and special tourism projects intended for domestic guests.

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The Pearl of Croatian Tourism Renovated and polished traditional buildings, modernized and put to specific use, surrounded by nature and relax zones, are veritable pearls in the Croatian tourism portfolio STORY

MENEGHETTI WINE HOTEL & WINERY

eneghetti Wine Hotel & Winery is located in Istria, Croatia’s largest peninsula in the Adriatic sea. Croatia, a country with a population of 4.28 million, is a true gem in the Adriatic Sea. It boasts a rich history, exceptional cuisine, spectacular coast and a countryside waiting to

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be discovered. Following the vision of Miroslav Plišo, lawyerturned- gastroenology enthusiast, who converted the derelict estate into the crown jewel of Istria’s hedonistic offering, its hotel is a member of Relais & Châteaux, an exclusive global association of independent luxury hotels.

THE HISTORY The small Istrian town of Bale is not the first association of first rate tourism destination in Croatia. Just how a well-placed hotel accommodation can change an image of a place is proven by renovated high-class wine hotel, the Meneghetti Wine Hotel & Winery near Bale.

MENEGHETTI RESTAURANT, MICHELIN RECOMMENDED A LA CARTE RESTAURANT, IS A MODERN INTERPRETATION OF TRADITIONAL CUISINE USING LOCAL INGREDIENTS

The history begin in 1813 when Mr. Meneghetti (no one knows his first name), a clever man originally probably from the Venice area, started building stone houses, planting vineyards and olive groves, raising goats, sheep, cows and pigs in order to feed the 600 hungry soldiers in the military base.

In April 2000, a new era in the history - or better said future – of Stancija Meneghetti began, when Romana Kajfež and Miroslav Plišo bought the derelict and forgotten, but still beautiful ruin. They carefully restored it, planted new vineyards and olive trees, built and equipped the new winery, catering to the needs of modern life, but fully respecting the tradition they inherited.

NOWADAYS The Meneghetti Wine Hotel & Winery belongs in a group of only four Croatian hotels of the

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exclusive hotel and restaurant chain Relais et Chateaux. Within only a decade, Meneghetti team has completely transformed the estate and established the brand which is synonym for excellence in the Adriatic region and across South-East Europe. Renovated with care and finesse, Meneghetti represents the high end of luxury in Croatia and regionally. The Meneghetti restaurant is among the best in Croatia and in the wider region. The Meneghetti winery, although small, produces wines which are now recognisable across Central and Southeastern Europe. Meneghetti olive oil is repeatedly year after year included in the list of 50 best olive oils in the world.

RURAL SPIRIT MEETS URBAN COMFORT AND LUXURY There you will find utmost

WITHIN ONLY A DECADE, MENEGHETTI TEAM HAS COMPLETELY TRANSFORMED THE ESTATE AND ESTABLISHED THE BRAND WHICH IS SYNONYM FOR EXCELLENCE IN THE ADRIATIC REGION privacy, where the rural spirit meets urban comfort and luxury, all on an impressive 12 hectares of wonderful landscape in the middle of endless vineyards, olive groves and birds singing. Completely natural, food grown locally by the “0 kilometer” principle, is combined with the great Meneghetti wines, but also other Istrian, continental, Dalmatian and global wines. It is no surprise the The Meneghetti Wine Hotel was declared in 2016 as one of ten best European food hotels by the Geo Saison Magazine, while the restaurant was listed among 1.000 best world restaurants, chosen by La Liste.

The entire magical estate dates

to the 19th century and was carefully, luxuriously and lovingly restored in 2016, continuing the tradition of the Vila Meneghetti. Six additional rooms were added to the hotel, while the salon, restaurant, kitchen, spa, pools and other hotel facilities were enlarged or added.

The complex was supplemented by 15 new luxurious accommodation units (Residences).

Two years later, additional six Villas each with a private swimming pool, were developed.

The majority of the units comprise two floors, each with its own porch and a south-facing garden. Built around the hotel, the Residences and Villas create an intimate complex with

the impressive old Meneghetti Villa in its center.

WINE AND OLIVE OIL PRODUCTION It is not a coincidence that Meneghetti is also a winery whose wines are at the top of the Croatian wine range, especially after some ten years ago oenologist Walter Filiputti left his mark on the wine production. Modern winery with annual production of more than 100,000 bottles of first-class wine, includes a tasting room, the only place where one can purchase limited editions of Meneghetti wines from the estate archive. Along with wine, Meneghetti also produces its own extra virgin olive oil, a wonderful cherry on top of the entire concept. Unique colour and pungent taste of Istria’s and Meneghetti’s olive oils are the result of the fact that Istria is among the coolest regions where olive trees grow in the entire world – and the best olive oil region in the world according to Flos Olei.

A BLEND OF TRADITION AND ELEGANCE Passion and talent to make nothing less than the best is set towards achieving another objective – to create an exceptional high-end resort, which will be inimitably grounded in the specific Istrian lifestyle and architecture, and will be a congregation of everything that the Meneghetti name stands for today: peace, serenity, privacy, sense of chosen seclusion from the rest of the world, connection with nature, superb wine and olive oil, superior gastronomy, a blend of tradition and elegance.

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Our Mission Was a Success The people visiting our farm come here because of its mission, its influence on the economy and the society, and as a Finnish woman said, because of the philosophy she feels in every corner of this place. Because our donkey truly live a life that many would wish to have CORPORATE

DARKO SAVELJIĆ Owner of Donkey Farm Martinići

ut when Donkey Farm Martinići that just received two donkey girls writes on Facebook ‘welcome, our chrysanthemums’. That’s love…” a girl wrote a tweet after reading a post about the arrival of two new jennies. There are numerous similar comments from visitors who recognized pure enthusiasm in the work of the farm founded

by Darko Saveljić, as well as true dedication and love towards what they are doing.

The farm was established in 2015 with the desire to protect from extinction this animal which is a part of natural and cultural heritage of Montenegro.

“The donkey was also the greatest ally in the difficult life in Montenegrin village. Until around thirty years ago, there wasn’t a house in the rocky part of the state that didn’t have a donkey for various needs. Today, they lost the battle to machines, the people left the villages so the donkey as an animal

“B

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lost its role and became one of the most endangered animal species in the country,” Saveljić says.

There are no more than 150 animals of this animal species in Montenegro today. From this number, around forty donkeys are precisely at the farm in Martinići. Just five years ago, the price for one donkey at the Cattle Market in Podgorica was 25 Euros. “Mainly hunters who used donkey meat to feed the

idea is spreading, Saveljić says.

Aside from their desire to protect the donkey from extinction, the farm in Martinići also has a role of someone who educates the public about animal rights in general.

“Six months after establishing the farm, I made a profile on Facebook, started writing posts about events at the farm, so people started coming. This opened the possibility for a new program - education. I

promotion of sustainable development has become our new focus of action.”

Over time, new ones developed: “The farm became an asylum as well, we buy the donkeys to save them from hard labor, torture and hunger. We opened the farm to families who have children with autism. Spending time with donkeys proved to be successful in a large number of cases. Considering that the farm respects

THE FARM WAS ESTABLISHED IN 2015 WITH THE DESIRE TO PROTECT FROM EXTINCTION THIS ANIMAL WHICH IS A PART OF NATURAL AND CULTURAL HERITAGE OF MONTENEGRO dogs bought them. Today, you can’t buy one for less than 200 – 250 Euro. We were absolutely successful in our mission to protect the donkey,” Saveljić states.

There are many people interested in establishing a farm, a few of them in Albania and Macedonia established their farms after visiting ours, so the

am a vegetarian for ethical reasons for over 30 years, I am a supporter of nature protection and animal rights, so this new role was not hard on me. Over 70,000 people visited the farm so far, and increasingly more foreigners have been coming over the past years. Sensitization of people to animal rights, environmental protection and

animal rights, the only ones who can ride our donkeys are children in wheelchair, and this therapy can help a great deal in some cases,” Saveljić says.

The farm in Martinići is not made of huge buildings and hangar complexes. It is located at the Saveljić family estate, where Darko’s family house is also located. “Minimalism

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is our guiding principle. The people coming here for the first time, knowing about the farm’s popularity in the country and abroad, expect a huge building, complexes of hangars… They are greeted by a small farm made of used or recycled materials, and that leaves them surprised. Our goal is to take nothing from nature, to have a positive effect on the environment so, among other, aside from recycling waste, we compost every gram of donkey manure,” Saveljić explains.

Even the entrance to the farm is free – at least you don’t pay with money. The farm is open to visitors only on Sundays, and the cover charge is a carrot or an apple – for the donkeys. “THe farm is the only destination in the country with an edible ticket: one kilo of carrots or apples per person, which visitors give to the donkeys. The visits are limited only to Sundays, between 10am and 1pm.

On other days, the donkeys are not at the farm, they enjoy freely grazing the meadows. Many would be envious of the quality of donkeys’ life on our farm,” Saveljić said.

The Donkey Farm in Martinići “bought” the attention of not only domestic, but also of a large number of foreign media. Reasons are many – a farm was established, and it’s a donkey farm, the founder is a professional scientist – ornithologist (expert in bird), who works at the farm… “This and many other aspects were interesting to journalists. Espe-

cially if we take into consideration the fact that everything revolves around politics and crime news in the Balkan media, this story was a breath of fresh air, it stood out from standard topics. All the leading global media wrote about the farm, several thousand electronic and print media reported about the farm,” according to the founder of the Martinići farm.

He also remembered how the farm was side by side with the news about Hillary Clinton and Donald Trump: “That

tions. One photo next to the other,” Saveljić remembered.

Lonely Planet also recognized the farm, and they listed it as one of the attractions of Danilovgrad, the municipality the farm belongs to.

The farm found itself in several other world guides, printed and electronic, special reports about it were made at BBC, German public service ARD, TV Arte, etc. “Millions watched our donkeys on TV. Our donkeys became global celebrities.

In 2019 alone, over 3,000 German tourists came to visit us,

At the last ball, there were around 4,000 people at the farm in one day in the period between 10.30h – 14h. With the concert of classical music, organic food manufacturers have the opportunity to present their products, we make mulled wine and, judging by the comments from the media and on social networks, on a sunny day the atmosphere is incredible. Once a year, last time was in cooperation with the German Embassy in Montenegro, we organized Magaskop, an open-air

SENSITIZATION OF PEOPLE TO ANIMAL RIGHTS, ENVIRONMENTAL PROTECTION AND PROMOTION OF SUSTAINABLE DEVELOPMENT HAS BECOME OUR NEW FOCUS OF ACTION happened in November 2016, during the elections in the USA and Montenegro. France Press Agency came to visit, they reported about our elections and made a short story about the farm. The news from this agency’s service portal became planetary. At one point, among other, a banner with my donkeys appeared at www.yahoo. com, next to the text and photo of Trump and Clinton, where they reported about the elec-

thanks to reports on German TV stations and a documentary about Montenegro on German TV Sat1. Last year, Ryanair recommended us as one of top 11 attractions of Podgorica. This company transports more than 400,000 passengers on a daily level, so you can imagine its reach,” Saveljić says.

In December, for five years in a row, the farm is organizing a New Year Ball with donkeys for children and adults.

cinema where we played German documentaries and older recordings of Montenegro from the private archives of German tourists. The reactions are also excellent. The farm is active on social networks, and so we have over 15,000 people following us on Facebook. Some posts had a reach of over 350,000 people, so this address of the farm is a medium for itself.

The first Donkey Museum in

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the region with a Visitors Centre was opened at the farm in the summer last year. All the tools for work whose driving force was a donkey – ploughs, scythes, corn planters, potato harvesters, etc. – are exhibited at the Museum. “We also have a pack saddle for carrying grenades from World War II, because the Italians who occupied us, and since Montenegro had no road network at the time, brought in donkeys for military purposes. We call it the Donkey Museum, and if the donkeys could talk, they would call it the Museum of Terror Against Donkeys, be-

left for us to do is to add a shelf with the prestigious recognition from the National Tourist Organization, the Wild Beauty Award for ‘unique tourist offer’. This especially because, aside from everything we did, we also built two luxuriously furnished suits for tourists who come to work at the farm.

Yes, to work. We fulfilled the Montenegrin dream – Montenegrins have a reputation in the region of being lazy, and now foreigners come and enjoy on our farm by working.

They clean the rooms, groom the donkeys, collect hay and do everything that has to be done

not in shopping malls.

“They are the people who visit the farm because of its mission, its influence on the nature and the society, and as a Finnish woman said, because of the philosophy that she feels in every corner of this place”.

Their next project is the construction of a 24 kW solar power plant that they want to install on the roof of the hay hangar. With almost 2600 sunny hours, we could achieve solid production. We prepared the project documentation, got the necessary permits, we are now in the phase of seeking do-

WE ARE MILKING AND SELLING THE BEST QUALITY AND THE MOST EXPENSIVE MILK IN THE STATE, AND WE DONATE HALF OF THE MILK TO CANCER PATIENTS, AND TO CHILDREN WITH DIABETES cause it wasn’t easy to tow all this,” Darko said.

At the Visitors Centre, the only one of that kind in the region, a film about the farm and its mission is presented in several languages. Construction of the Centre was funded by the Rockefeller Foundation from NY, thrilled with the concept of the farm. “All that’s

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that day. In return, they get organic food grown, picked and prepared at the farm, which is rather exotic to most foreigners,” Darko commented.

The founder of the farm in Martinići is proud because the visitors – of both the suits and the farm in general, are mainly people with a built consciousness, who relays in nature, and

nors. With the production of electricity that we would use to supply the farm, we could save around 20t of CO2 emission annually. We would use the excess of electricity to finance the Nature Park “Zeta River”, since we are within its limits and we are its donors.

After three years of hard work, donkey farm is capa-

ble of funding itself: “We are milking and selling the best quality and the most expensive milk in the state. One liter costs 50 Euro,” Saveljić states. This milk has a multifaceted effect on health, primarily when it comes to respiratory diseases, skin and immunity. “Popularly known as ‘donkey cough’ (whooping cough), this disease was treated in Montenegro only with donkey milk. Even medicine still hasn’t managed to deal with this problem like only a few deciliters of this drink can,” Saveljić claims.

Aside from the pure donkey milk that can be purchased at the farm, they also offer products and cosmetics made from this milk. “The ointments are rather expensive, but if you buy them once, you will stay loyal to them, because of the nature’s effect on the skin, the ‘Cleopatra effect’ – the Egyptian Queen owed her beauty to baths in donkey milk,” Saveljić explains.

Half of the milk they produce the farm donates to cancer patients, and to children with diabetes. In order to encourage people to donate blood, they also donate donkey milk to blood donors. The farm is also a permanent donor to societies for animal protection, and they also provide a fully equipped hall at the Visitors Centre with capacity of 25 seats to everyone who has a good idea for Montenegro.

“Only politics and religion are not welcome,” Saveljić concludes.

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THE DEBT TOLL

The Poorest Countries May Owe Less to China than First Thought Still, China lends more than the members of the Paris Club combined he four-lane, 62km toll road being built between Masiaka, a business hub in Sierra Leone, and Freetown, the country’s capital, promises shorter journey times, fewer accidents and smoother drives. It is nonetheless controversial. Awarded to China Railway Seventh Group, the project added over $160m to the country’s foreign debt, according to the China-Africa Research Initiative (CARI) at Johns Hopkins University. The work has suffered delays, which the company blames on the pandemic and the need to compensate property owners, reports the Concord Times, a local newspaper. The firm has also complained that some lorries pass by the toll booths, not through them.

Projects like these have mushroomed across Africa and other developing countries in the past 15 years. “It’s no secret...China is by far the largest bilateral creditor to African governments,” said Mike Pompeo, in June, blaming it for creating an unsustainable debt burden. Plenty else is, however, secret. China does not typically divulge how much it has lent to whom or on what terms. Nor is it a member of the Paris Club of government lenders, which tries to co-ordinate debt forgiveness among its members, making sure that no lender takes advantage of the magnanimity of another.

Many, therefore, have wondered how China would play its part in the debt-relief initiative agreed in April by the G20 group of big economies.

That initiative will allow 73 of the world’s poorest countries to delay payments on loans from G20 governments, freeing up resources to fight the pandemic. China, a prominent G20 member, signed up. But would it offer the same terms as the others? And if so, how would they know? Proving China is doing its bit is hard if you do not know how much it has lent.

Recent weeks, however, have yielded a pleasant surprise. To help monitor the G20 initiative, the World Bank told its board it wanted to reveal more data about the govern-

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THE COUNTRIES COVERED BY THE DATA OWED $104BN BETWEEN THEM TO CHINA AT THE END OF 2018, $106BN TO THE WORLD BANK AND $60BN TO BONDHOLDERS

ment debts of the eligible countries.

Though its board is dominated by its bigger shareholders, including China, the bank’s plan faced little resistance. And so after cross-checking its numbers, the bank has now disclosed what eligible governments owe to bondholders, multilateral bodies, private foreign lenders and other governments. The countries covered by the data owed $104bn between them to China at the end of 2018. The total includes soft loans from China’s government, semi-soft loans from “policy banks”, such as China Development Bank, and profit-seeking loans from state-owned commercial lenders. The same countries owed $106bn to the World Bank and $60bn to bondholders.

The data, say Deborah Brautigam and Yufan Huang of CARI, are a “gold mine”. Prior to the release, they had

to scour public announcements of loan pledges, cross-checked with reports from Chinese embassies or ministry documents in the borrowing country. In addition to aiding research, the data should also help the public in developing countries, says David Malpass, the World Bank’s president.

The new figures confirm Mr Pompeo’s observation that China is by far the biggest bilateral creditor to Africa, and in many poor countries elsewhere (see chart 1). It accounts for about 20% of the total foreign debt owed by the 73 governments eligible for the G20 initiative (and about 30% of their debt service this year). That is more than all of the Paris Club lenders, including America, Britain and Japan, combined. But it is also smaller than the estimate of over 25% based on figures from Mr

Horn, Ms Reinhart and Mr Trebesch.

Indeed their estimates for individual countries often exceed the bank’s by large margins (see chart 2).

What explains the gap between Ms Reinhart’s research and her new employer’s data? Some of it may reflect the difference between announcements and disbursements. Just because China says it will lend money, does not mean the entire sum is paid at once (or ever). But even when Mr Horn, Ms Reinhart and Mr Trebesch look at the bank’s figures on commitments, rather than incurred debt, they find some loans missing, suggesting incomplete data.

Another reason for the gap may be that the bank excludes some debt owed by state-owned enterprises and special-purpose vehicles but not guaranteed by the government. In other contexts the bank does consider scenarios in which state-owned firms fail or public-private partnerships sour, requiring the government to step in. Counting these as public debt brings the bank’s estimates closer to the Horn-Reinhart-Trebesch figures.

Such thought experiments could sometimes stretch the definition of public debt, though. The financing raised for Sierra Leone’s controversial toll road, for example, is supposed to be repaid from toll, not tax, revenues. It would only burden the government if those tolls fell short. The World Bank does not seem to count it as government debt—but it is included by CARI. The bank’s figures for Chinese lending are not always below outside estimates. For Burkina Faso, the Central African Republic and Liberia they are much higher. This, reckons Ms Brautigam, is because they include loans from Taiwan. China’s critics, including Mr Pompeo, may suspect that its true lending is higher than the bank suggests. But even they would not want to chalk up to the People’s Republic what is properly owed to Taiwan.

From The Economist, published under licence.

The original article, in English, can be found on www.economist.com

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Corporate Law: 10 Most Common Legal Issues for Businesses There are certain legal issues that almost every company has to resolve to establish large companies choose joint stock corporations in Croatia. The minimum capital required is HRK 200,000, a sum that can be provided by the shareholders in exchange for shares. Another preferred form of business in Croatia is the sole proprietorship which can be easily registered, with respect to the Companies Act and the Crafts Act in Croatia.

CORPORATE

PETAR PETRIĆ Attorney at Law, Petrić & Kajić Law Firm LLC

WEBSITE

2 COMPANY NAME rom issue to issue, Petar Petrić, Attorney at Law, Petrić & Kajić Law Firm LLC, recommends, advises and points out all important details related to your business from the perspective of law. In this issue, we continue with the topic, Corporate Law: 10 Most Common Legal Issues for Businesses.

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1 CHOOSE THE TYPE OF ENTITY Choosing a business structure is certainly one of the most common legal issues all businesses face. When starting a business you should first decide on how to structure your company. Your choice will depend on liability considerations, as well as the best formula with regard to tax laws. It also depends on your team and the focus of your operations. It’s advisable to talk to a lawyer who can help you clarify the different options and their ramifications. The business owner must choose the type of entity he will create for his business. Which shape is more desirable? Limited liability company (LLC) is the most frequently established type of company in Croatia due to its simple incorporation procedure. It is mainly destined for small and medium-sized companies since it can be formed by at least one shareholder, be it an individual or a legal entity. At least 20,000 HRK must be provided as an initial capital. Entrepreneurs who wish

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Company name is the name under which the company operates, and under which it participates in transactions. Choosing a name is not always as simple as it sounds. First, the name cannot be the same or almost the same as the other entity. Should the name reflect the name of the owner? Perhaps the name should evoke an image of the products the company sells or the services it performs.

3 EMPLOYMENT Every company that has at least one employee has to carefully consider the proper regulation of the employee-employer relationship. Seek legal advice to make sure you have proper employment contracts and that you comply with the national employment laws that are applicable. If your relationship is not perfectly outlined, you are potentially facing claims for unfair dismissal, breach of contract or discrimination.

Make sure that you also comply with the health and safety regulations on the workplace, since this is another common issue for businesses.

4 OFFICE OR WAREHOUSE SPACE Unless the business is conducted out of a home, companies must have office or warehouse space. That means finding the space, with or without a realtor and negotiating the lease. The

space should be large enough to meet the needs of the company, but not so large that the company is paying for space it does not need or is not using.

5 ACQUIRE NEEDED EQUIPMENT The company must acquire the equipment it needs to run the business. That may be office supplies and a computer or two or it can be hundreds of thousands of kunas worth of equipment. How should the equipment be acquired? Should it be purchased outright or leased.

If purchased, should the business self-finance the purchase or is it preferable to get a loan?

6 INTERESTS THAT NEED TO BE INSURED The company will likely have interests that need to be insured.

A professional may need professional liability insurance, while a manufacturer may need prod-

Make sure you put everything in writing. A good idea is to sign a Shareholder’s agreement. Without proper legal documentation, it’s almost guaranteed you’ll experience this common legal issue in the future.

9 BUSINESS RECORDS The business owner must keep all business records up to date.

Expenses must be thoroughly documented. Corporate records should reflect all major business decisions, how they were made and by whose authority they were carried out. If errors have been made, they should be corrected as soon as they are discovered.

The company needs to submit the annual financial statements which are normally approved by the authorized accountants in Croatia. Each company registered in Croatia is subject to taxes and social contributions; A bank account in Croatia is necessary for future financial transactions in the firm.

CHOOSING A BUSINESS STRUCTURE IS CERTAINLY ONE OF THE MOST COMMON LEGAL ISSUES ALL BUSINESSES FACE uct liability insurance. Most leases require special types of insurance with stated limits of liability. Finding a knowledgeable insurance professional is a must.

7 EMPLOYEE INCENTIVES As the company grows, the business will want to retain that employees who are helping the company succeed. That may mean offering key employees an equity ownership interest in the company or an incentive plan, such as stock options.

8 SHAREHOLDER AGREEMENT it’s important to regulate the relationships within the company, clearly and properly distributing liabilities and responsibilities.

10 EXIT STRATEGY The business owner should devise an exit strategy. That may consist of bringing family members into the business, grooming key employees to take over, selling the assets and terminating the company or selling the company. In any event, it is important to maximize the value of the business, and that can be done only through careful planning.

EXPERIENCED CORPORATE LAWYER An experienced corporate lawyer can help a business owner guide the company through its life cycle of formation, growth and development and eventual ownership transfer or termination.

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Staycation Communication 2020 In a country where vacation means a lot more then relaxation from the annual workload as Croatia is, Summer of 2020 has brought “staycation” narrative which relates to both Croatians and foreigners

COLUMN

JAGODA POROPAT DARRER Business Communication Professional

hen it comes to vacations this year, travel restrictions are encouraging people across the globe to look a little closer to home, which is even being encouraged by various governments. The term staycation was coined in 2005 and has stuck to become part of travel enthusiast's lingo, although in this time of pandemic is more than welcome to embrace it.

Born from the economic crisis, the concept of staycation raised at the time of the 2008 market crisis in the United States. Back then, many households were forced to restrict their expenses and consequently limit their vacation budget. The shortage of money to travel abroad is at the origin of why many people started to (re) discover their most immediate surroundings (Gonçalves, 2020).

The UK government urges British people to holiday at home this summer as uncertainty persists about international travel and the domestic tourism industry’s ability to recover from the coronavirus shutdown, writes Financial Times, and Brits are not the only ones to be asked to plan staycations.

For many travelers, as writes CNN, after weeks or months of being asked to stay home, boarding an aircraft for a farflung destination only to be instructed to self-isolate once you arrive at your accommodation has questionable appeal. Selecting a destination with no quarantine rules in place may be a significant factor in choosing where to vacation this summer. Croatia is still safe enough and pleasant as always to plan

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a relaxing vacation. With over 700 000 foreigners in July, it is about half of overall tourists comparing to last year. As everything changed, the narrative built around the travelling advertisement changed too.

Many travelling agencies rather than constantly adapting to inconsistently red, orange and green zones that oscillate according to epidemiologic data in each state, advise its clients to practice staycation.

Travelpulse.com suggests that virtual travel experience have exploded since the pandemic hit, and as it stands, it's still the safest way to explore the world. It could be fun to plan a virtual four-day vacation in which you visit different regions around the globe each day, and thematically plan the day with virtual activities and meals and drinks associated with those regions. Plus, it's far more cost-effective for those who have been financially hurt by the pandemic.

and early to drive to a charming destination, outdoor recreation area, or some quirky roadside attraction. Bring along your meals or go through drivethru to minimize your contact with others. Then return that night to stay in the safety of your own home. Wake up to do it all again the next day. Not only will you be putting money back into your local economy but you'll be staying socially-distanced and safe.

Remote ranches in Gorski kotar, Lika and inner Istria offer a ranch style vacation, with a large selection of activities that you can do on your own (or with minimal contact with others) like horseback riding, hiking, spa experiences, and more. Ranch resorts don't tend to have a huge amount of rooms which will minimize your interaction with others and make you feel comfortable vacationing.

Glamping was booming before the pandemic, and experts

predict glamp sites will continue to get a lot of love from travelers when they start traveling again. Take in consideration beautiful Plitvice lakes and many more glamping sites from Istria to Dalmatian coast and islands. The style of the glamp site - whether it's tiny home, yurt, tipi, treehouse, or safari tent -- adds a fun experience to camping and allows travelers to be safely tucked away from others.

Adapting to new normal seems to become an imperative to go through the pandemic. As health come first, we consider changing our habits. The new narrative suggests that staycation is an ecological way of spending our vacation close to our home. It is synonymous with less pollution, saving money and not contributing to the overwhelming chaos that takes place in some of the world’s most touristic areas. Although, not everything has to stop. Choose wisely!

TRAVELPULSE.COM SUGGESTS THAT VIRTUAL TRAVEL EXPERIENCE HAVE EXPLODED SINCE THE PANDEMIC HIT, AND AS IT STANDS, IT'S STILL THE SAFEST WAY TO EXPLORE THE WORLD Furthermore, the same source advises luxury staycation. A two-night stay in the most upscale hotel in the city, enjoying all the amenities the property has to offer. Order food to the room, indulge in a long bath, have cocktails on the balcony, and book an in-room spa massage. Pamper yourself to the fullest extent without putting yourself or others in danger. Bonus: Many luxury hotels are offering major discounts following the pandemic.

Whether you don't want to spend the money on a hotel or don't feel safe doing so, Travelpulse advises to plan a short multi-day trip summer vacation. Each day, wake up bright

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We Hugg You With Music Music is the life we live that flows through us and makes us better people, and we are lucky to have the blessing to be chosen to give this to others through music INTERVIEW

MIRKO BOCH Director of the Zagreb Philharmonic Orchestra

he Zagreb Philharmonic Orchestra is celebrating 150 years of its existence. Marko Boch, Director of the Zagreb Philharmonic Orchestra, talks for Diplomacy&Commerce about plans, the anniversary, the people who left a mark with their work, and the challenges and new circumstances we are all living in.

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The Zagreb Philharmonic Orchestra is marking 150 years of its work with a new slogan – ‘We hug you with Music’. It all started according to the plan, but then the COVID 19 pandemic happened. How is the Zagreb Philharmonic “fighting” with all the new measures and rules, and how do you function?

— From the moment when the coronavirus appeared in the Republic of Croatia and the horrific earthquake in Za-

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greb, the philharmonic didn’t stop the work of their extraordinary artists.

Even though apartments and houses of many of our members were damaged in the earthquake, we didn’t lose heart but instead, members of the philharmonic showed from their homes how much we love our

— Since mid-March, when we stopped, until the end of May, when we started holding concerts again, the open space (the Zagreb Zoo) was our stage for our fellow citizens. That’s how we held a series of concerts and thus closed the season 2019/20.

We are starting our jubilee season at the beginning of Sep-

life we breathe. Unfortunately, the hall that is our home, the Vatroslav Lisinski Concert Hall was damaged in the earthquake and we hope that it will be operational so that we can perform our concerts.

Many were part of the Zagreb Philharmonic Orchestra, they

WE ARE STARTING OUR JUBILEE SEASON AT THE BEGINNING OF SEPTEMBER, AND WE SINCERELY HOPE THAT WE WILL START AT FULL STEAM city, and that the strong spirit of artists will never be discouraged, so we performed a video clip titled “Moj Zagreb tak imam te rad” (My Zagreb, I love you so).

Celebration of the great jubilee began according to plan. Which of the announced events have been carried out?

tember, and we sincerely hope that we will start at full steam.

It is the middle of the year, how did you reduce your program and your activities? What can we expect in the months to come?

— We haven't reduced the program for the new season because we don't have any reservations when music is the

left their mark and their seal.

Is there anyone you would particularly single out?

— Many artists gave a great contribution over the 150 years of this wonderful orchestra, from: F. Zaun, Matacic, Horvat, Basic, Despalj to V.Sutej who died too soon, and over the past decade or so, Mo Dmitrij Kitajenko left a great artistic and human

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mark. And of course, generations of members of the philharmonic who built this particularly sensitive orchestra, as Mo Kitajenko says.

What is the significance of art and culture in such difficult and uncertain times? Which way leads to the audience, which seems eager to hear some good and quality content?

— Art is more important now than ever before and this is shown day by day, just as a man cannot do without air and feelings, music as art is what gives us the warmth of the soul and makes a person better and cleaner in every way, and the purpose of the Zagreb Philharmonic is the creation of a quality and better society. The way to the audience is always through sincere emotions of the musician, who pays special attention to each listener.

You have been preparing for this season for a long time, because it is special and specific in many ways. Due to the earthquake in Zagreb, the Zagreb Philharmonic Orchestra was temporarily relocated from the Vatroslav Lisinski Concert Hall. When do you expect to return to your premises and will this happen in any special way?

ART IS MORE IMPORTANT NOW THAN EVER BEFORE AND THIS IS SHOWN DAY BY DAY, JUST AS A MAN CANNOT DO WITHOUT AIR AND FEELINGS, MUSIC AS ART IS WHAT GIVES US THE WARMTH OF THE SOUL — We believe that we will enter our hall in the fall, by the end of September, and that the first concert will surely be especially emotional for all of us, regardless of when we perform the first concert in the hall.

The beginning of the season is planned for September 25. If something changes due to the pandemic, do you have a Plan B? — The year is extremely difficult for everyone, especially for the artists, but we have

shown that we always find an answer to the misfortunes that befell the Zagreb Philharmonic this year, so rest assured we will not give up because music is our life and I am convinced we will find a solution.

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HOME ENTERTAINMENT

Chekhov’s Trip to Sakhalin Puts Lockdown in Perspective When he crossed the strait to the island prison colony, the writer felt he was entering hell long the Siberian highway, between Tyumen and Tomsk, Anton Chekhov stayed the night in a coach driver’s cabin. Two months earlier a gentlewoman had stopped there with her newborn boy. Suspecting that he was illegitimate, and childless herself, the driver’s wife offered to take him in. The lady left him with the couple while she decided—and then vanished. Was he theirs or not? “Please help, for God’s sake!” the driver implored as his wife, besotted with the baby, fled the room in tears.

It was May 1890 and Chekhov was on his way to Sakhalin, an island north of Japan which was then a huge Russian penal colony. For the stir-crazy, his trip is a consoling reminder of travel’s hazards. Chekhov nearly perished in a collision with a mail troika and might have drowned in a flood. Notionally it was spring, but on the approach to Tomsk there was deep snow. And the terrible rutted roads, the oceans of mud, the endless taiga, the maddening mosquitoes…When at last he crossed the Tatar Strait to Sakhalin it was ablaze with forest fires. He felt he was entering hell.

Unlike some writers who trekked across Siberia, Chekhov went vol-

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untarily. The journey took almost three months, and he spent as long again on the island. His aim was to survey the prisoners and publicise their conditions—which make

the confinement of lockdown look like paradise. On Sakhalin, chains clanked incessantly and the floggings gave Chekhov nightmares. Virtually all the women, convict or free, had

CHEKHOV NEARLY PERISHED IN A COLLISION WITH A MAIL TROIKA AND MIGHT HAVE DROWNED IN A FLOOD. AND THE TERRIBLE RUTTED ROADS, THE OCEANS OF MUD, THE ENDLESS TAIGA, THE MADDENING MOSQUITOES… been forced into prostitution. Bears scooped salmon from the rivers, but the human food was terrible. And the boozing! The bedbugs! Like covid-era readers taking their licensed strolls, many inmates were able to roam around, but they could never see their loved ones. They made doomed bids to escape, often butchering each other in the process, desperate to cross the strait and breathe the air of freedom before they died.

Today, two museums are devoted to Chekhov on Sakhalin, which is dominated by giant energy projects. The island left a mark on him, too. It coloured his view of authority and redoubled his commitment to describe life as it was, compassionately but without illusions. Just before he set out, his play “The Wood Demon” had flopped. Afterwards he

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wrote many of his finest stories, as well as “The Seagull”, “Three Sisters” and “The Cherry Orchard”.

Even in “Sakhalin Island”, his account of the expedition, the artist in

Chekhov keeps elbowing aside the social reformer, and amid the demographic details that he amassed are a trove of exquisite vignettes. After confessing to killing her child a prisoner wept bitterly, but then (in Brian Reeve’s translation) “wiped her eyes and asked, ‘Fancy buyin’ a nice little bit o’ pickled cabbage?’” Despite lashings and stints in a punishment cell, an old con had refused to work; in the end the guards gave up, and he strolled around, singing. Murdered in a bakery, a cruel official “fell into the kneading trough and stained the dough with blood”. Alas, you never find out what happened to the gentlewoman’s baby.

From The Economist, published under licence.

The original article, in English, can be found on www.economist.com

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CULTURE NEWS

77th Venice Film Festival in the Name of Italian Film and Covida-19 This year's 77th Venice Film Festival will be marked by an Italian film with four titles in official competition, and the Covida-19 pandemic, which reduced the program and took sanitary measures.

Festival director Alberto Barbera mentioned in a statement "an anxious spring and an uncertain summer", so the decision to hold the 77th Mostra was seen as a "sign of confidence". There are 18 films in official competition, including four Italian ones.

James Joyce's Room Opened Film icon Olivia de Havilland on the Brijuni Islands Died at the Age of 104

The Brijuni Room of James Joyce, an audiovisual project by the Rijeka artist Damir Urban, a great friend of the ‘Ulysses’ theater, was solemnly presented at the ‘Karmen’ hotel on Veliki Brijun. The project is conceived as a multimedia experience in a specially designed exhibition room, conceived as Joyce's room where visitors will be able to see specially prepared works in individual or small tours - from paintings, photographs and maps to videos, audio and other content. Urban, who presented the project, said that it was an extremely interesting attempt to revive the past related to Brijuni at a time when Croatian tourism is waging a convulsive battle for survival. The cooperation between the Brijuni National Park and the ‘Ulysses’ Theater shows how important it is to promote similar projects that are very interesting for tourists, he pointed out.

Loan for Entrepreneurs in Culture

In her Paris home, after celebrating her 104th birthday on July 1, Hollywood icon Olivia de Havilland passed away. Her acting career lasted six decades, until the late 1980s. She has made about fifty films. Born Olivia Mary de Havilland in 1916 in Tokyo, she was the last big movie star of the Golden Age of Hollywood. She distinguished herself as a partner of Errol Flynn in the adventure films ‘Captain Blood’ in 1935 and ‘The Adventures of Robin Hood’ in 1938.

Her worldwide fame was brought by the historical spectacle ‘Gone with the Wind’ from 1939, in which she played Melania Hamilton. For this supporting role, she received the first of five Oscar nominations.

The Oscars for the leading role were brought to her by the films

‘Everyone’s Own’ and ‘Snake Litter’. She also received two Golden Globes and numerous other awards and honors. She also made history in 1965, as the first woman to chair a jury at the Cannes Film Festival. She has lived in Paris for the past 50 years, returning to the United States only for theater and television and rarely film roles.

Entrepreneurs in the cultural and creative industries can apply for a loan from banks using state guarantees secured by a loan guarantee program for entrepreneurs in the cultural and creative industries. The Ministry of Culture and Media launched the Program in cooperation with HAMAG-BICRO and the Ministry of Finance within the second package of measures aimed at encouraging and restarting the production and distribution of cultural content and ensuring additional liquidity of entrepreneurs in the cultural and creative industries banned. Gatherings and cancellations of events, closures of theaters, cinemas and concert halls left negative consequences.

The program is based on the Temporary Framework of the European Commission - for state aid measures to support the cultural and creative sector in the current COVID-19 pandemic and was approved by the European Commission on 17 June and adopted by the Government on 2 July. A loan of HRK 300 million is envisaged with a guarantee in the amount of 100 percent of the loan principal, ie a maximum of EUR 800,000 per beneficiary.

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CULTURE NEWS

71. Dubrovnik Summer Festival For the first time in the 71-year-long history of the Dubrovnik Summer Festival, the opening ceremony was held at a different location from the cult one, in front of Luža and the Church of St. Blaise. The music program of the 71st Dubrovnik Summer Festival was opened by pianist Aljoša Jurinić with a recital called the Beethoven Monument. This time among the guests were the President of the Republic of Croatia Zoran Milanović and his wife Sanja Music Milanović, and Ministers Horvat, Bedeković, Obuljen Koržinek, and the envoy of the President of the Parliament, Branko Bačić and the Vice President of the European Commission Dubravka Šuica.

66th Split Summer Festival New Mural in Zagreb A new mural dedicated to the famous Polish composer has found its home in Dežmanova street in the Croatian capital Zagreb. This year, Poles at home and abroad are celebrating the 210th anniversary of the birth of Polish piano poet Fryderyk Chopin. To pay tribute to the memory of the great Polish artist and one of the world’s most famous composers, the Embassy of the Republic of Poland in Zagreb funded a mural starring Fryderyk Chopin. The project was realized in collaboration with Boris Bare – a Croatian street art artist. This is the reason why Chopin from now on will be watching you from the wall of the building at 10 Dežmanova Street. The project “If the walls could talk (about Chopin)” is another example in a series of very successful projects that the Embassy of the Republic of Poland in Zagreb has realized in cooperation with Croatian artists and institutions. “We hope that this mural will remind us of the great Polish musician for a long time to come and encourage passers-by to listen to the works of the great Polish artist.” said on this occasion Dagmara Luković, Consul of the Republic of Poland in the Republic of Croatia.

The 66th Split Summer Festival opened in the coastal city of Split on Tuesday night with the hoisting of the festival flag and a premiere of Verdi’s opera “I Lombardi”. Opening the festival, Mayor Andro Krstulovic Opara said art did not stop because of challenges or crises and that the coronavirus crisis and everything that came with it had given numerous artists additional inspiration. He said this year’s festival was opening with “I Lombardi” to “symbolically honour the suffering people of Lombardy and send a message of the power and invincibility of art and creation as well as the victory of us all.” Culture Minister Nina Obuljen Korzinek said she was glad that another national festival was opening in different circumstances but by complying with epidemiological measures. The programme has been adapted to the moment but the most important thing is that as many Croatian artists as possible work during the summer and that audiences enjoy culture in a safe environment, she added. Over 32 days, the Split Summer Festival will feature five operas, 14 plays, five ballets, 14 concerts, four films and two exhibitions. The event closes on August 14 with the presentation of the Judita awards and two concerts.

The 67 Pula Film Festival

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It is everyone's wish that the continuity of the Festival continues and that this year's selected production is presented in a quality manner. The institution, together with the artistic director, will propose to the Festival Council, in accordance with all measures, a new look of the Festival and the schedule of screenings, and an appropriate decision will be made.

With the hope that epidemiological conditions will allow it, we are looking forward to the Pula audience still enjoying the Festival and the films, the organizers said in a statement.

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