HNB buying land for the vault
Transferring monetary sovereignty
The Croatian central bank HNB is planning to buy a lot in New Zagreb, where it will build a new building for its treasury operations. Obviously, the HNB has concluded that investing in land is more cost-effective than engaging in the risk of buying property at current market trends. The real question is why exactly is the central bank buying so much new space now when the country is preparing to enter the euro area and transfer a large part of its monetary sovereignty to the ECB.