Croatia is ahead of some countries that entered the European Union two years ago and certainly ahead of those to enter in 2007, he added.
Good economic trends, which are evident in last year's accelerated growth, have continued this year and we can expect further GDP growth, Sanader said, citing a number of economic indicators.
At the beginning of this year industrial production saw an increase of 6.4 per cent and the national budget deficit was twice smaller than it was at the same time last year.
The unemployment rate was reduced from 13.8 per cent at the end of 2004 to 12.3 per cent at the end of 2005, the lowest rate in the last seven years.
The prime minister mentioned with pride that his government was the first to succeed in reducing the foreign debt, but noted that it could not influence banks and public borrowing.
Finance Minister Ivan Suker said that last year the state budget had generated 85.9 billion kuna in revenues, or 6.7 per cent more than in 2004, while expenditures had increased 5.7 per cent to 89.6 billion.