The government on Thursday sent draft amendments to the Credit Institutions Act in fast track procedure to the national parliament, whereby conditions will be created for Croatia to enter into close cooperation with the European Central Bank.

The request for close cooperation was sent by Zagreb to the Frankfurt-based financial institution on 27 May.

EU Member States whose currency is not the euro can participate in the Single Supervisory Mechanism (SSM) by requesting the establishment of close cooperation between the ECB and their national competent authority (NCA). Once close cooperation has been established, these Member States can join both the SSM and the Single Resolution Mechanism.

The amended legislation will enable the Croatian National Bank to honour guidelines and requests by the ECB.