With Schengen, euro area entry most important foreign policy goals fulfilled

In fewer than 20 days, Croatia will enter both the euro zone and Schengen area, which is one of the "most tangible transformative moments" in the context of the tenth anniversary of membership in the Union, Prime Minister Andrej Plenković said on Monday.

"No one has yet managed to enter both the euro and Schengen area on the same day," Plenković said at the 1st annual conference on the Croatian National Recovery and Resilience Plan (NRRP).

The membership of the Schengen and euro area is an additional mechanism for accelerating development, whereby membership in the euro area allows us to "be more protected and less exposed." At the same time, the Schengen Area membership makes it easier for everyone to come to Croatia, which is also essential in tourism. There are also benefits for Croatian companies, with Plenković giving the example of a trucking company.

He also said that revenues from tourism this year will "far exceed" 2019. Thus, Plenković believes that GDP growth this year will be higher than the forecasted 5.7%, given that the 1% growth in the fourth quarter of this year is sufficient so that the growth for all of 2022 could be 6%.

When looking at the difference between paid and received funds from the European budget, Croatia has a surplus of HRK 68 billion, Plenković stated, among other things.

In conclusion, he assessed that Croatia has no better path than strengthening its position within the EU. Plenković labelled as nonsense what some political actors have been saying regarding some kind of alternatives while referring to "the frightening globalisation," or their theses about "flattering" a "terrible" Europe."

Finance Minister Marko Primorac recalled the solid economic growth in 2021, which was achieved primarily due to the tenacity and agility of Croatian entrepreneurs and businessmen, but also the government's measures, which showed that it knows how to deal with numerous challenges and is ready to respond appropriately.

Primorac underlined the grounds and reason for optimism according to which the current turbulent period will be successfully passed. He mentioned the use of funds from the NRRP and the implementation of all the reform goals and investments that will make the economy stronger and more resistant to crises.(Hina/FaH)

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