What's Happening?
The Croatian government is inviting bids for the bankrupt 3 Maj shipyard in Rijeka as part of efforts to revive the country's shipbuilding industry. The government took control of the yard through a debt-to-equity swap and is now seeking to privatize it. The minimum bid price is set at $7.9 million, with bidders required to maintain shipbuilding activities. The government also plans to privatize another major shipbuilder, Uljanik Brodogradiliste, by the end of 2025.
Why It's Important?
Reviving the shipbuilding industry is crucial for Croatia's economy, which has been affected by rising costs, competition from Asia, and geopolitical factors. The privatization of 3 Maj and Uljanik Brodogradiliste could attract investment, create jobs, and boost economic growth. The requirement to maintain shipbuilding activities ensures the preservation of industry expertise and infrastructure.
