According to its statement on the Budapest Stock Exchange, Orco took note of Cobankovic's statement to the press on Friday that he was confident a solution would be found to the dispute concerning Orco's investment in Croatia's Suncani Hvar hotel company.

Cobankovic, who is also the chairman of the Croatian Privatisation Fund's (HFP) Steering Board, said on that occasion that the meeting would be held early this week.

Last week, Orco sent a notice to the Croatian government warning that this was the first step to launching international arbitration between them concerning Suncani Hvar.

The head of Orco's Croatian activities, Marija Hrebac, said the business environment in Croatia was deteriorating.

Instead of encouraging private investment, the HFP ignored all attempts by Orco Group to achieve the potential for Suncani Hvar's development. The refusal of HFP leaders to give Orco more than 20 minutes for discussion before blocking important initiatives at a Suncani Hvar shareholders' meeting and the police bringing Orco Group's CEO for questioning do not show that the Croatian government welcomes foreign investment, the Group said, it was therefore cautiously optimistic about Cobankovic's invitation.

"We would like to avoid international arbitration and clear up all disagreements with the government," Hrebac said, adding that despite numerous meetings in recent months, the government had not put forward any proposal that would suggest a change in its approach.