Task force chief Vedran Antoljak said the project had involved 250 people who first analysed laws from the economic sector.
It recommends the abolishment of 420 regulations and simplification of an additional 371 regulations, which makes up more than a a half of economic regulations, Antoljak said.
Croatia is planning to build an electronic registry of regulations enabling citizens to obtain data at one site about all necessary procedures and costs of providing public services.
Sanader said that simpler and clearer regulations were an important tool in efforts to counter bribery, corruption and murky dealings.
He said the government would set up a special office to monitor effects of all future regulations.
In September of 2006, Croatia launched the Regulatory Guillotine, a process of rapid regulatory simplification that will result in the elimination of 30 to 50 percent of unnecessary regulations and procedures.
The Regulatory Guillotine has already been applied in several countries in transition with the aim of reviewing and updating the legacy of laws, rules, and other instruments dating back decades.
The Croatian variant of this regulatory reform, called "Hitrorez" (Quick-Cut in an unofficial translation), should help the country review, eliminate, and replace regulations not consistent with a market democracy.
Each regulation in the scope of the guillotine is assessed according to three criteria: its usefulness in the future development of the country, its lawfulness, and its market-friendliness (Is it clear and simple for businesses?).