One of the main goals of Croatian foreign policy is to become a full member of the European Union. Croatia has submitted a request for full membership on 21st of February 2003, and received the status of official candidate for EU membership on 18th of June 2004. Negotiations for accession have been officially open on 3rd of October 2005. Negotiations focus on the conditions under which the candidate countries will adopt, implement and enforce the acquis communautaire. Very important area of negotiation and requirements of the Republic of Croatia is the reform of public administration. The main criticism of the state administration states its bulking and lethargy. Public administration reform runs slowly. The existing legal administrative system in Croatia is a complex and complicated, and it needs to be simplified. Large discretionary range leads to inefficiency and legal uncertainty, and provides conducive circumstances for corruption. Administrative Court, for example, can not perform the current scope of work related to revision of administrative decisions. Also one of the criticisms refers to underdevelopment of local and regional self-government, and weak decentralization. The State Administration is responsible for the immediate implementation of the Act, making regulations for their implementation, performance management and inspection and other administrative and professional activities. State administration tasks are performed by government bodies of state administration and certain affairs of state administration may be entrusted to bodies and local and regional government or other legal entities pursuant to a public authority. Field of activity of public administration, and thus of the administration of convergence is very broad and complex. At this stage of the research, the project consists of several key areas. In order to perceive the complexity of the functioning of the Croatian public administration the institutional framework of Croatian public sector and the basic components of the state administration and local self-government are presented. In a separate section of the report the main directions and achievements of the implementation of a comprehensive public administration reform that is underway is summarized. By this reform a very high degree of convergence and administrative integration of Croatia into EAS will be achieved. More detailed surveys were conducted in the area of the implementation of normative and institutional prerequisites for the reform of public administration and especially in part of formulation of the economic financial control (audit and control) of activities of public administration entities. These researches are represented in more detail in the report with respect to the narrow field of study in the Faculty of Economics in Rijeka as a partner in this project. In other phases of the research project we will comprehensively examine aspects of convergence in the field of accounting and finance, socio-economic development of civil society and the full involvement of the Croatia into the EAS.