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The president has limited executive powers, he is still commander-of-chief of the armed forces, he cooperates in formulation and execution of the foreign policy and the national security policy, represents Croatia home and abroad, convenes Parliament and can bring issues at Government. Main and the most essential duty of the President is that he is granted power to issue decress with the force of law during war time.

Any negative trends in the large EU economies such as Germany or Italy also have a negative impact on Croatia as they are its biggest trade partners.

The official entering of Croatia into personal union with Hungary, becoming part of the Kingdom of Hungary, had several important consequences.

In recorded history, the area was inhabited by the Illyrians, an Indo-European people who spoke the Illyrian language. The Liburn, Iapod and Delmat tribes inhabited various parts of the Adriatic coastline and interior between modern Istria and Herzegovina.

Inflation and unemployment rose and the kuna fell, prompting the national bank to tighten fiscal policy. A new banking law passed in December 1998 gave the central bank more control over Croatia's 53 remaining commercial banks. Croatia is dependent on international debt to finance the deficit. A recently issued Euro-denominated bond was well received, selling $300 million, which helped offset economic losses from the Kosovo crisis.

The Austrian royal army was victorious against the Turks in 1664 but Emperor Leopold failed to capitalize on the success when he signed the Peace of Vasvar in which Hungary and Croatia were prevented from regaining territory lost to the Ottoman Empire.

The natural growth rate is minute, as the demographic transition is long done. Life expectancy and literacy rates are reasonably high.

Croatia has a three-tiered judicial system, consisting of the Supreme Court, county courts, and municipal courts. The Constitutional Court rules on matters regarding the Constitution.

The Croatian Parliament (Sabor) is a unicameral legislative body of up to 160 representatives, all elected by popular vote to serve four-year terms. The plenary sessions of the Sabor take place from January 15 to July 15, and from September 15 to December 15.