Croatia has been a member of the European Union since 1 July 2013. Membership in the European Union entails the obligation to adopt the euro as the official currency in the member state. In order for the Republic of Croatia to join the Economic and Monetary Union, it had to fulfil four convergence criteria, namely: price stability, fiscal discipline, exchange rate stability and long-term interest rates. The Republic of Croatia has fully met the above criteria in a relatively short period of time. The introduction of the euro brings with it certain benefits, but also costs, the largest of which is the initial cost of adopting the euro. If one analyses the relationship between benefits and costs in more detail, it becomes clear that the benefits are extremely greater than the costs, which decrease significantly over time. Some of the most significant benefits relate to the reduction of transaction costs, which greatly increase the mobility of people, make it easier for companies to do business and contribute to an increase in investment. The aforementioned benefits have significant implications for deepening relations between Croatia and other EU Member States, but also for increasing competitiveness, which undoubtedly contributes to Croatia's economic growth and development. Given the importance of this topic, the aim of this thesis is to analyse the success of the Republic of Croatia in meeting the convergence criteria with a view to joining the Economic and Monetary Union and to examine the adjustment process of the economy when the Croatian kuna is replaced by the euro. The paper may be useful for those who wish to learn more about the convergence criteria, but also about the success of the Republic of Croatia in meeting them.