In July 2013, Croatia is celebrating its entry into the European Union (EU). It will be the 28th EU member and the third poorest country in the EU after Bulgaria and Romania. It will also be the EU expansion since 2007 when it last admitted Bulgaria and Romania. Croatia became an independent country in 1991 after battling with the former Yugoslavia for its independence. Croatia’s population is estimated at 4.2 million.
Croatia’s application to become a EU member took nearly 10 years. It is joining the EU at a time economic difficulties are hampering both the EU and the Croatia. For the last five years, Croatia is in a recession. Financial difficulties, corruption, lower living standards, downgraded international credit rating and higher jobless rate around 20 percent are some of the major issues that Croatia facing at the time. Croatia will not be admitted to the Eurozone until it meets certain conditions. When it becomes a Eurozone country, it will be eligible for bailout from the Eurozone. Croatia is betting on the EU admission to modernize its economy as well as to lift it out of poverty. Croatians will be able to work in other EU countries and capital for development will flow into Croatia.