Foreign and European Affairs Minister, Gordan Grlic-Radman, said on Tuesday that by entering the Schengen area Croatia had moved away from Southeast Europe and that euro introduction would secure further investments and legal security.

“We are accomplishing the vision of the first Croatian president. We have moved away from Southeast Europe. Both Croatia and Slovenia,” Grlic-Radman said during a parliamentary debate on reports on meetings of the European Council in 2022, noting that Croatia was now where it had used to be 104 years ago.

Croatia accomplished very much in 30 years

Grlic-Radman went on to say that now it was important to remove the still existing differences in the cohesion and rural policy as Croatia wanted to be equal with regard to the economic growth and standard of living in the EU.

However, that process does not happen overnight. “It requires time and investment, and Croatia has accomplished very much in the past 30 years.”

Grlic-Radman noted that euro introduction would strengthen Croatia’s international, financial and any other reputation and secure further investments and legal security and step up the process of accession to the OECD.

He thus answered to criticism by MP Marijan Pavlicek (Croatian Sovereignists) who said that it was the government rather than retail chains that was responsible for the current market chaos and rising prices because it had not prepared for euro introduction.

“There were no black lists, there were no talks with providers of services,” he warned, noting that it was increasingly hard to live in Croatia and that people barely made ends meet and could not afford to pay for their utilities.

The parliamentary majority and the Opposition welcomed Croatia’s entry to Schengen, but a part of the Opposition said that the timing of euro area entry was wrong.

Anka Mrak-Taritas (Centre/GLAS) welcomed Croatia’s entry to Schengen and the euro area.

“That we are also politically part of the small circle of countries from which, regardless of everything else, we will benefit is not a small thing,” she said, adding that it was now the time to turn in a constructive and smart way to the immediate neighborhood, and that Schengen’s external border should not be a wall separating Croatia from “our slightly unstable and disorganised neighbours.”

She also noted that Bosnia and Herzegovina having been awarded EU candidate status was a very important thing.

Euro introduction won’t improve living standards

Stephen Nikola Bartulica (Homeland Movement), too, welcomed Croatia’s entry to Schengen, the signing of an agreement on the avoidance of double taxation with the USA, and the fact that BiH had become an EU candidate.

He, however, believes that euro introduction will not improve the standard of living in Croatia and that the EU money intended for the post-earthquake reconstruction of the Banija region would not be used due to the lack of responsibility on the part of public administration.

Pedja Grbin (SDP) said that energy and economy were on the agenda of every meeting of the European Council, which also discussed ways to step up procedures related to renewable energy sources, warning that the state-owned power supplier HEP and state administration were hindering energy transition projects.

Marko Pavic (HDZ) wondered how Grbin planned to be prime minister if he did not know what the European Council discussed, with the war in Ukraine having absolutely dominated its meetings.

The HDZ MP also said that Grbin cannot be the prime minister of an EU country because he does not understand European topics, explaining that the European Council does not discuss individual tenders but budgets and that Croatia managed to secure €25 billion there.

MPs adopted without debate the proposal by the Privileges and Credentials Commission that the replaced Minister of Regional Development and EU Funds, Natasa Tramisak, return to the parliamentary benches. The new Minister of Physical Planning, Construction and State Assets, Branko Bačić, will be replaced as an MP by Danica Baricevic, and Osijek Mayor Ivan Radic (HDZ) will cede his seat to Goran Ivanovic.