Market Intelligence

The amendments revolve around fine tuning the restructuring process that was already set out by the IA through the pre-insolvency proceedings while also harmonising it with the Directive.

On 23 April 2020 the Croatian Government adopted a Proposal for an Act on Intervention Measures in Enforcement and Insolvency Proceedings During Special Circumstances.

After almost two years, the extraordinary administration proceedings over Agrokor and 77 of its Croatian group companies is entering its final stage.

Reasoning behind the changes: In the two years that the "new" bankruptcy regime – the Bankruptcy Act of September 2015 (Stečajni zakon; the "BA") – has been in place, the number of pre-bankruptcy procedures initiated in Croatia has plummeted to only 273, with 58 restructuring plans being accepted.

Over the past few months, Croatia's economy focus is primarily set upon the status of its biggest food and retail group, Agrokor d.d.

The Croatian Consumer Bankruptcy Act (Zakon o stečaju potrošača; "ZSP"), which entered into force on 1 January 2016, for the first time introduces the legal concept of consumer bankruptcy into the legal system.