The grey economy is evident in both tourism and in entrepreneurship, causing disloyal competition and great difficulties, Sanader said, adding that alongside corruption and organised crime it was one of the biggest evils which not only Croatia, but many democratic and developed countries were faced with too.
He said Croatia would have to correct its GDP as it joined the European Union because the opening of pre-accession funds and monetary support to EU members depended on the GDP.
According to Sanader, the grey economy comprises four sins: one against workers because they receive minimum wages, one against the competitors because competition is disloyal, one against the state, and one against the economy itself because it is illegal.
Speaking of problems in tourism, he said people in the sector should forward initiatives to the ministers of tourism and education so that the insufficient personnel in this branch could be provided through school programmes.
Speaking of the gas supply system, Sanader said the Pula-Karlovac pipeline would be inaugurated on November 22. "This will connect the entire western and northern Croatia, and now we are going towards Lika and Dalmatia". He said gas was expected to be supplied southwards to Split by 2010 and then further south towards Dubrovnik.
He also announced the government would support an initiative to reintroduce ships sailing on the Dalmatia-Kvarner-Istria route.
The PM reiterated that the practice of holding government sessions outside Zagreb proved that "Croatia is not as strong as Zagreb is, but as strong as other counties and other cities are strong".
Prefect Ivan Jakovcic said Istria County was Croatia's most dynamic region, as confirmed by all indicators, from tourism to agriculture. He added Istria could become a county without jobless people by the end of the decade, contributing to the process of Croatia's accession to the EU.