ZAGREB [url=http://www.cheapnhljerseysnew.com/]Cheap Jerseys China[/url] , June 30 (Xinhua) -- Twelve months after Croatia achieved its dream of joining the European Union (EU), a cheerful atmosphere in Zagreb has cooled in amidst of a depressed economy.
Croatia, the newest member of the 28-block, remains one of the weakest economies in the block. Croatia's 60-billion-dollar economy is now 12 percent smaller than it was before 2008. In its spring economic forecast the European Commission predicted that Croatia would post a recession this year, the sixth in a row.
The country has hoped EU membership to pull itself out of the recession. But there is little sign of local start-ups or foreign investors generating viable businesses beyond tourism.
After joining the block Croatia has seven times more access to European funds [url=http://www.cheapnhljerseysnew.com/]Cheap Jerseys[/url] , potentially 1.5 billion euros (2 billion U.S. dollars) per year, but to qualify for these funds, Croatia must allocate 1 percent of its GDP to co-finance projects.
Croatian President Ivo Josipovic said during his recent official visit to Switzerland that "economically, we have failed to fully benefit from our membership in the EU. We haven't used all the available money".
According to Croatian Minister of Regional Development and EU Funds Branko Grcic, the government has absorbed 501 million euros so far.
Facing unemployment of 20 percent [url=http://www.cheapnhljerseysnew.com/...rseys.html?about=206]Cheap Vegas Golden Jerseys[/url] , worse among young, the young and brain mostly doctors and teachers are leaving the country for possibilities in education and job opportunities in abroad.
In the first quarter of this year 417 of the 16972 licensed doctors in the country have applied for leaving, according to the Croatian Medical Chamber (CMC).
Hrvoje Minigo, the president of CMC said that he expected the number would climb up to 600 by the end of the year.
However, some analysts viewed several positive impacts in the first year of EU membership.
A German economist said that small and medium enterprises in Croatia are showing the first signals of increased export on European markets [url=http://www.cheapnhljerseysnew.com/...rseys.html?about=205]Cheap Winnipeg Jets Jerseys[/url] , thanks to the elimination of customs barriers and simplified procedures.
Croatia's agricultural products have full access to the EU market, resulting in the export of live pigs there for the first time in recent history, he said, adding this is very important for Croatian farmers, showing that their products are competitive in the EU market.
A foreign investor also believed that EU membership has at least brought some fiscal discipline to the country [url=http://www.cheapnhljerseysnew.com/...rseys.html?about=204]Cheap Washington Capitals Jerseys[/url] , adding it is too early to measure the impact after entering EU only one year.
The country is currently in the EU's Excessive Deficit Procedure (EDP), a tool Brussels uses to enforce fiscal discipline in its member states. Under the EDP, Croatia must reduce the deficit to under 3 percent by the end of 2016.
Croatian National Bank Governor Boris Vujcic said it is "too early to see the real effects of joining the EU," adding that Croatia joined the EU amidst the economic crisis both in the EU and Croatia.
He, however [url=http://www.cheapnhljerseysnew.com/...rseys.html?about=203]Cheap Vancouver Canucks Jerseys[/url] , strongly believes that the membership in the EU was the only possible course for Croatia to take, adding "Croatia didn't have any valid alternative to joining the EU."
"It's not like we woke up on July 1, 2013 and suddenly life got much better," he said in an interview with Euronews.
What needs to be done are structural reforms aimed at improving business climate -- deregulation of the product market, services market [url=http://www.cheapnhljerseysnew.com/...rseys.html?about=202]Cheap Toronto Maple Leafs Jerseys[/url] , labor market -- in order to attract more foreign direct investments, he said.
Josipovic agreed with him, saying that "the EU is a tool to resolve many of our problems," but "the membership itself cannot change our destiny overnight." (1 Euro = 1.36 U.S. dollars)
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