Republika Hrvatska

Government: Parliamentary democracy with unicameral parliament
Head of State: President Stjepan Mesić
Head of Government: Prime Minister Ivo Sanader
Foreign Minister: Kolinda Grabar-Kitarović

Population: 4.4 million
Capital: Zagreb
Area: 56 538 km²
Currency: 1 Kuna = 100 Lipa; 1 EUR= 7.34 Kuna (Dec. 2006)

GDP in real terms: 38.5 billion euro
GDP per capita: 6 968 euro
Economic growth: 4.3% (2005)
Unemployment: 12.7 %

Main export markets: Italy, Bosnia and Herzegovina, Germany
Main exports: Textiles, machinery, electronics, iron and steel
Main source of imports: Italy, Germany
Main imports: Automobiles, machinery, textiles, chemical products
Major economic sectors: Manufacturing industry (esp. pharmaceuticals), energy, financial services, property, trade, logistics and transport services, construction, agriculture and tourism, environmental technologies

Croatia drawing closer to the EU

• June 1999: The EU General Affairs and External Relations Council establishes the aims and conditions of the "Stabilization and Association Process" (SAP) for the countries of the Western Balkans. The SAP is a condition-based instrument which allows the countries of the Western Balkans to set their own pace of rapprochement through individual reform measures.
• June 2000: The Feira European Council grants five countries of the Western Balkans, including Croatia, the status of potential accession candidates and launches a Stabilization and Association Process.
• October 2001: The Stabilization and Association Agreement is signed between the EU and Croatia.
• January 2002 to end of January 2005: An interim trade agreement is signed pending implementation of the Stabilization and Association Agreement.
• February 2003: Croatia becomes the first country of the Western Balkans to apply for membership.
• June 2003: The second EU-Western Balkans summit in Thessaloniki emphasizes the accession perspective of countries in the region.
• June 2004: The Brussels European Council grants Croatia accession candidate status.
• December 2004: The Brussels European Council decides that accession negotiations can begin on 17 March 2005, provided that Croatia cooperates fully with the International Criminal Tribunal for the Former Yugoslavia (ICTY).
• January 2005: The Stabilization and Association Agreement enters into force.
• March 2005: The opening of negotiations is postponed due to a lack of cooperation with the ICTY.
• October 2005: Accession negotiations are begun once it is established that Croatia is cooperating fully with the ICTY.

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