Sanader was speaking about the conclusions of a two-day party meeting held in Varazdinske Toplice.
The meeting discussed what should be done by the end of the term, including the completion of reforms and the implementation of the programme with which the party won the elections, Sanader told reporters.
He dismissed claims by the Social Democratic Party (SDP) that the HDZ was preparing to call an early election, saying that the elections would be called in November 2007 as scheduled.
Early elections would not be good for Croatia because they would stop the reforms that have been launched and slow down the accession talks with the EU, Sanader said, adding that early elections would not be good for the opposition either, because it was not ready for elections.
"Croatia must show that it is a stable democracy with a four-year term cycle," Sanader said.
The party meeting also discussed a projection of the state budget for next year, reforms in the judiciary and public administration and capital investments.
Sanader stressed the importance of strengthening all systems in the country so as to gain the best possible position for negotiations with the EU and draw up quality programmes to obtain funds from the EU pre-accession funds.
Asked about opinion polls showing that his popularity and that of his party was growing, Sanader said that one should not be deceived by such polls because the country faced difficult reforms which could change such trends.
Speaking about the state budget for next year, Finance Minister Ivan Suker said that this year's deficit of 4.2 percent of GDP would be lowered to 3.5 percent next year.
Budgetary expenses are estimated at 95.9 billion kuna, which is an increase of 4.9 billion kuna or 5.5 percent in relation to this year, Suker said.
Next year budgetary revenue will be 17.5 billion kuna higher than two years ago, the minister said, adding that the wage budget for budgetary users would be increased by 930 million kuna, that 1.63 billion kuna would be set aside for the payment of the state's debt to pensioners, and that 116 million kuna would be set aside for maternity allowances.