Speaking at a round table in the southern coastal city of Split on regional planning and the real estate market in the process of Croatia's integration with the European Union, Mihaljek said that 8,500 applications for the purchase of housing in Croatia had been filed and that 3,200 of them had been approved.
Foreign investment in real estate in EU member states is unlimited, while in Croatia foreigners can buy only holiday homes, but not more than one. Once Croatia joins the European Union it will be possible to buy real estate in Croatia without restriction, he said.
Mihaljek recalled that EU candidate countries had requested and had been granted transitional periods for the purchase of real estate and free movement of capital and labour.
The Director of the Zagreb-based Institute for Public Finance, Katarina Ott, said that accession of Croatia to the EU was the best solution for the country, but that without the necessary reform and political stability EU membership might have a counter-effect in some segments.
Ott said that Croatia needed faster liberalisation not only of the real estate market, but also of other sectors, such as shipbuilding and agriculture.
The round-table discussion was organised by the Institute for Public Finance and the Friedrich Ebert Foundation from Zagreb in cooperation with the School of Economics from Split.