ISSN 1334-7047 CROATIAN GOVERNMENT BULLETIN VOLUME XII DECEMBER/JANUARY 2009 | No. 40 Croatia chaired UN Security Council Justice And Home Affairs - Rijeka-Zagreb-Budapest Interview: EU And Western Balkans Motorway Opened Damir Polančec Republic of Croatia Facts and figures Zagreb Rijeka Osijek Adriatic Sea The Adriatic sea got its name from an ancient port of the same name. The Adriatic spans from the Balkan to the Apennine peninsula. The part belonging to the Republic of Croatia is the eastcoast which Land area 56.542 sq. km extends all the way from Prevlaka Geographical position in the south to cape Savudrija Croatia extends from the furthest Territorial waters area in the west,including all islands, eastern edges of the Alps in the 31.000 sq. km islets and cliffs along the coast,and north-west to the Pannonian the archipelago of Palagruza (the lowlands and the banks of the Length of coastline number of islands, islets and cliffs is Danube in the east; its central region (with islands) more than 1700). is covered by the Dinara mountain 5.790 km This is a unique area in Europe range, and its southern parts extend Length of terrestrial border for cruising with motor boats, Zadar to the coast of the Adriatic Sea. speedboats, or sailboats, but also 1.777,7 km for enjoying the underwater world. Highest peak Dinara (1.831 m above sea level) Number of islands 1.185 (66 inhabited) Population Split (census 2001.) 4.381,352 Capital Zagreb (779.145 inhabitants) Religions Roman Catholic, Serbian Orthodox, Islamic, Jewish, Protestant and others Currency kuna (1 kuna = 100 lipa) Dubrovnik Language Croatian CROATIAN GOVERNMENT BULLETIN IMPRESSUM Croatia In Focus CONTENT December/January 2009 | No. 40 Publisher 8 Croatia chaired UN Security Council in December 2008 PM Sanader’s Government of the Republic of Croatia, Office for Public Relations 16 Foreign Minister`s Diplomatic Tour 10000 Zagreb, Trg sv Marka 2 Review of tel: +385 1 45 69 248, 20 Prime Minister’s Diplomatic Tour fax: +385 1 45 69 393, 63 03 022 2008 www.vlada.hr 23 President of the Slovak Republic Ivan Gašparovič on official visit to Croatia Editor in chief Sandra Puhovski 24 Energy Development Strategy [email protected] 25 Economic Policy of Croatia in 2009 Dear Reader, Staff We entered the year 2008 on a wave of support by the Croatian voters – receiving a majority of 27 Rijeka-Zagreb-Budapest Motorway opened votes at the parliamentary elections, and consequently the mandate for establishing a coalition Suzana Kovačević, Jasna Sruk Vlah, Government, which was confirmed by the Croatian Parliament a year ago. Dubravka Belas, Ida Ćosić, Igor Žarković, 28 Interview with Damir Polančec Martina Mance, Paula Popravak, Since then, we held around 60 sessions of government and sent more than 120 legislative Vesna Lončar, Daniela Valić, proposals for parliamentary procedure. However, our achievements are not only expressed in 30 News Flash these statistics, but rather in our dedication to further advance the prosperity of Croatia and all Antonija Gelo, Antun Čajkovac, her citizens. Tomislav Šimičević, Zoran Šimunić, 36 Justice and Home Affairs - EU and Western Balkans Ivana Zlomislić Securing the standard of living 38 Completion of Phare 2005 Twinning Light Project Translation The main task of the new government was to safeguard our citizens’ standard of living. After many years of negotiations we reached an agreement on the Act on the Minimum Wage. We Slađana Butković 40 57 Products Branded ˝Croatian Island Product˝ also raised the income tax exemption from 1,600 to 1,800 Kuna. Throughout the year natural gas prices remained stable, and the price of electricity did not increase until summer. Since Proofreader 42 Krijesnica - a Tiny Light Of Hope this increase, we have been subsidising the price of electricity for more than fifty percent of households, aiding those who need assistance the most. We have also continued with our Danijela Šegedin 44 Interliber - Zagreb Bookish Olympics repayment of debt to pensioners – 950 million Kuna worth of debt was repaid in December, and Christmas bonuses to both pensioners and government employees were paid out. Art editor 46 The Beauty of Freedom Demijan Bačić Croatia is an open economy, and as such we are also exposed to international processes. The global financial and economic crisis inevitably affected our country, as well. However, due to 48 Turopolje’s Eleven Wooden Beauties the macroeconomic stability achieved over the last four years, Croatia was prepared to weather Layout and design the storm. The Government also took prompt actions, like increasing the deposit amounts Massol design&marketing 50 Nautical tourism guaranteed by the state, which consolidated the stability of Croatia’s financial system. www.massol.hr In integral part of our efforts to strengthen Croatia’s economy is the preparation of our new 54 The Days of Croatian Tourism energy strategy, aimed at securing energy supply, increasing the competitiveness of the system Print and bringing about sustainable energy development. In line with this strategy, we have decided Kersch Offset 56 Opatija - Queen of tourism to separate the natural gas business, thus keeping procurement and distribution under state Edition 58 Sport News Flash 1500 PM Sanader’s Review of 2008 PM Sanader’s Review of 2008 ownership. Croatia’s new energy strategy, which will cover the next 10 years of energy become a full member of the most successful alliance of Western democracies. We development and investment, will soon be sent to the Parliament for adoption, and expect to complete the accession process before the next NATO Summit in Strasbourg will signify a new chapter in our efforts to be as energy independent as possible. and Kehl, on 3 and 4 April 2009, when the Alliance will celebrate its 60th anniversary. Shipbuilding was also one of the crucial issues that marked the year. On 12 January The last year also brought to Croatia a clear timeline for completing the accession 2008, the same day the Government was confirmed by Parliament, more than 1,500 negotiations with the European Union. Taking into account Croatia’s achievements, creditors voted for a new bankruptcy plan for the shipyard Viktor Lenac, thus ending the European Commission issued a Road Map for completing the negotiations during the shipyard’s five-year long agony. With this, a new hope was brought to more than a 2009, based on the fulfilment of the conditions for membership. thousand workers employed in Viktor Lenac. We want to bring this same hope to other shipyards, which require restructuring through the process of privatization. These conditions relate to the adoption and implementation of the acquis communitaire, and it is our firm belief that the progress of the negotiations should Infrastructural projects were also continued: the Rijeka-Zagreb motorway, which be, and will be, based on these premises. From its part, Croatia is ready to fulfil these was started in 1970, was put into operation in its full length of 146.5 km. After criteria. seventeen years, trains once again operate on the Vinkovci-Osijek line, and we have started reconstruction of the Vinkovci-Tovarnik-State Border line. The newly-opened In that framework, we are committed to continuing key reforms, like the reform of the motorway section, Šestanovec-Ravča, brings us 40 km closer to our final aim – linking judiciary and the public administration. This also includes the fight against corruption Croatia’s continental parts to our Adriatic coast, including Dubrovnik. In doing so, we and organised crime. During the testing moments of 2008 that tested our resolve, we will open new perspectives for tourism development, stimulate the development of showed our resolution in fighting all forms of crime. In this context, two new ministers economic zones and increase employment in the south of Croatia. joined the Government and brought their experience and professionalism to our common efforts. Advancing Croatia’s strategic goals Looking at 2009 Croatia also remained very active in the international arena. The visit of U.S. President George W. Bush to Croatia confirmed our developed and friendly relations, and Our achievements, but also the overall experience collected in 2008, give us additional demonstrated the strong partnership between Croatia and the United States of strength to face the challenges the lie ahead of us in 2009. These challenges are not America. The visit illustrated our important role on the global scene and our position simple, yet they also provide us with an opportunity to renew our commitment to as an unavoidable factor and trusted partner in this part of Europe. It also sent a clear work together in securing Croatia’s future. message to other countries in the region: a credible approach to reforms brings about tangible results. A future of inclusion and prosperity for all our citizens. A future in which every citizen, and Croatian society as a whole, will have the opportunity to develop all their In the midst of our two-year mandate, Croatia assumed the presidency of the UN potentials. A future in which Croatia will be an integral part of the family of Western Security Council in December 2008. Advancing a policy of cooperation, instead of democracies, as a full member of the EU and NATO. confrontation, in international relations, we contributed to world peace and security. Our membership in the UN Security Council was also recognition of the profound To that end, I will continue to invest my greatest effort and dedication. Our goals are transformation of Croatia, from a consumer to a net contributor to international ambitious, as they should be, and for Croatia to achieve these goals we must all work security. During my participation at the UN General Assembly in September, as well together.