The EU should agree on a new institutional treaty in 2007 or 2008, and according to the schedule, Croatia might accede to the Union by the end of the decade if it meets all the necessary requirements, Rehn said at a joint press conference with Prime Minister Ivo Sanader after attending a Croatian government session.
Rehn arrived in Zagreb on Thursday for a two-day visit, during which he was scheduled to meet President Stjepan Mesic, Parliament Speaker Vladimir Seks and the head of the national committee monitoring EU membership talks, Ivica Racan, and was also due to deliver a keynote speech at the conference "Challenges facing Croatia in judicial reform and combating corruption".
The year 2007 will be extremely important for Croatia because it will need to maintain the momentum of reform and legislative adjustment regardless of the fact that next year is an election year in the country. If it succeeds, it will be a great leap for Croatia in its efforts to join the EU, Rehn said.
Rehn said that in its progress report, released earlier this month, the European Commission had recognised the progress Croatia had made in implementing the necessary reforms and adjusting its legislation to that of the EU, but that it also identified the challenges and issues that were yet to be addressed.
Rehn stressed that the key to progress in the membership talks was in the hands of the Croatian government and its ministries, Parliament and civil society.
Noting that the accession talks were progressing well, Rehn said that they were being conducted on the basis of Croatia's achievements and its readiness to meet all the necessary requirements. Meeting those requirements will demonstrate the credibility of Croatia as a partner, he added.
On the subject of the reform of the judiciary and public administration and the fight against corruption, Rehn said that the European Commission had learned from its experience with Romania and Bulgaria that it was necessary to initiate and complete reforms in those areas as early as possible.
This is important for the quality of life and for a good business environment for people coming to do business in Croatia, he added.
Rehn praised Croatia's relations with other countries in the region, saying that the outstanding issues with Slovenia should be settled bilaterally as recommended by the European Commission.
Sanader took the opportunity to once again express his satisfaction with the European Commission's progress report, describing it as objective and balanced.
Sanader agreed that the reform of the justice system and public administration and the fight against corruption were long-term tasks that would be pursued even after Croatia joined the EU.
On Friday, Rehn was scheduled to visit the eastern towns of Osijek and Vukovar.