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croatian eu accession proceeding well as eib extends loan

News Posted On: 13 October 2010

The European Investment Bank has given a 200m euro loan to Croatia. The loan is to finance infrastructural investments and addressing long-term needs that will bring it closer to EU standards. The money will be used in water supply, railway infrastructure, human resource development and regional competitiveness projects according to sources.

A recent report by European Parliament rapporteur for Croatia Hannes Swoboda said that all chapters on Croatia's accession could be closed by next March. However, he also conceded that the remaining chapters judiciary and fundamental rights and competition, are the most difficult, and also said that Croatia's cooperation with the Hague War Crimes Tribunal is being monitored closely by several EU member countries.

The Croatia property market was one of the hottest during the recent boom, as the likelihood of it achieving accession to the EU -- with the rapid price and economic growth that is known to bring -- fuelled demand for property on the Mediterranean coast, which was popular because of its low prices.

However, as prices escalated and Croatia's path to EU accession was blocked by Slovenia because of their border row, investors turned their attention away from Croatia, and the credit crunch finished off any remaining demand.

Croatia and Slovenia came to an agreement on the border row that allowed Croatia's accession to proceed last year. The agreement stated that Croatia would not negotiate or agree anything in tis EU accession talks that would be prejudicial to future negotiations on the border row. The accession talks have proceeded well ever since and 2011 certainly seems to be an attainable target.

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