At its session today, the Croatian National Bank Council reviewed the latest economic and monetary developments, adopted the monetary policy guidelines for the second quarter of 2007, approved the central bank's financial statements for 2006 and issued several decisions falling within its field of competence. The session was chaired by Deputy Governor Dr. Boris Vujčić and attended by Finance Minister Ivan Šuker and Chairman of the Parliament's Finance and Central Budget Committee Šime Prtenjača.

Due to low inflation in the first quarter (although March data are not yet available, the year-on-year inflation rate is expected to remain below 2% with these data included) and a stable exchange rate, the central bank has not intervened in the foreign exchange market this year. As economic and monetary developments have also been mostly in line with forecasts, the CNB Council approved the continued implementation of current monetary policy measures.

In addition, the CNB Council gave approval for the appointments of management board chairmen and members proposed by the supervisory boards of several banks. Adriano Carisi is to be appointed chairman and Jasna Mamić a member of the Management Board of Gospodarsko-kreditna banka d.d. Zagreb. Zorislav Vidović is to remain a member of the Management Board of OTP banka d.d. Zadar, Julije Kuruc is to serve another term as chairman and Marijan Marušić as a member of the Management board of Podravska banka d.d. Koprivnica.

Balkan Financial Sector Equity Fund CV, which has its seat in the Netherlands, was granted approval for the acquisition of a qualifying holding of over 10% of shares of Vaba banka d.d. Varaždin.