Vietnamese Deputy Minister of Finance Do Hoang Anh Tuan and Croatian Minister of Finance Zdravko Marić on Wednesday signed an agreement on the avoidance of double taxation and the prevention of fiscal evasion with respect to income taxes.

According to Tuan, the agreement is considered concrete evidence of cooperation, marking a new step in bilateral ties. In addition, it will contribute to create a clear, stable and appropriate legal environment consistent with international standards, encouraging investment and business activities between the two countries’ firms.

Croatian Minister of Finance Zdravko Marić expressed his belief that the agreement would kick-start the establishment of closer ties, while bringing mutual benefits and prosperity in the upcoming time.

Croatia is one of the two most economically developed countries of the former Federal Republic of Yugoslavia. Its economic development mainly relies on key sectors such as tourism, shipbuilding, machinery production, oil exploitation and refinery, and construction materials. The tourism sector is a significant source of foreign currency earnings with revenue of US$8-9 billion per year.

There has been significant progress made in cooperative relations between Viet Nam and Croatia in recent years. Their annual bilateral trade has increased by more than 20 per cent since 2013 and reached nearly $80 million in 2016, showing the potential for further cooperation in trade and investment between the two nations. — VNS