Croatia Joins the EU: A Look at the Local Economy

Croatia became the 28th member of the European Union at midnight on Sunday, passing a milestone in its recovery from war but anxious over the troubled state of its economy and the bloc it is joining.

It  is also the first expansion of the EU eastwards since 2007, when Romania and Bulgaria joined, and the "Big Bang" enlargement of 2004 when ten new members came aboard. The global economic crisis has since posed unprecedented challenges to the unity of the bloc, undermining popular support and fueling doubts over the wisdom of further expansion to the former Yugoslavia.

Croatia Benefits

So far Croatia stands to get around $15bn of EU financing, albeit with conditions, and will...