Of all the former Yugoslav republics, Slovenia has the closest links with western Europe. Located at the northeastern end of the Adriatic Sea, this small, Alpine country controls some of Europe's major transit routes. Slovenia's transition to independence in 1991 avoided the violence of the breakup of Yugoslavia. The most prosperous of the former communist European states, it is the only former Yugoslav republic on the "fast track" to EU membership.

Slovenes are ethnically very similar to the neighboring Croats and, like them, are predominantly Roman Catholic. However, the country's long historical association with western Europe, and particularly with Austria, created a distinct Slovene identity. This enabled a smooth transition to independence in 1991. The major non-Slavic minorities are small communities of Hungarians in the east and Italians in the southwestern Istrian region. Tensions are few. Women are not heavily disadvantaged in Slovenian society.

Strengths

Stability. Competitive manufacturing industry. Exports to EU and to former Yugoslav markets. Revoz car plant very productive, making Renault Clios. Competitive port at Koper. Free trade pact with Bosnia from 2001. Least indebted of central and eastern European states.

Weaknesses

Economy only partly liberalized. Capital market controls discourage foreign investment. Slower growth rates than other emerging markets. Slow pace of privatization.

Slovenia has been strikingly stable since independence, with Milan Kucan as president from 1990. Fragmented party politics makes coalition governments essential. Janez Drnovsek, leader of the center-left LDS, has been prime minister almost continuously since 1992, apart from a six-month period in 2000 when the more right-wing SLS pulled out of the coalition. Andrej Bajuk, as SLS leader, then became prime minister, leaving his party after a failed attempt at electoral reform. Drnovsek returned to office following elections in 2000.

Many former communist officials still occupy top posts. Ownership of denationalized property remains an issue and there is still bitterness over the killing of opponents of Tito's partisans in the 1940s.

Slovenia is on the "fast track" to EU membership, probably in 2004. It also aims to be part of the next round of NATO enlargement.

Troops staved off Yugoslav forces after secession in 1991. It was announced in 2002 that military conscription would be phased out by 2004.

Slovenia has come under pressure from Austria to close the nuclear plant at Krško, which provides one-third of Slovenia's power. There are deposits of brown coal and lignite, but they are difficult to extract and of poor quality.

Protecting the country's alpine ecology is a priority. Pollution comes mainly from smelting, the chemicals industry, and burning brown coal and lignite.

Slovenia is strategically situated at some of Europe's major crossroads. In addition, its Adriatic ports provide Austria with its main maritime outlet.

National health care in Slovenia uses health centers and outpatient clinics to increase accessibility for patients.

School is compulsory from seven to 15 years of age, and standards are high. The university at Ljubljana was founded in 1595.

Slovenia's prison population is proportionately among the lowest in Europe. Smuggling people into western Europe is overtaking narcotics smuggling as the focus of organized crime.

Slovenia has the highest standard of living of all the central and eastern European states of the former Soviet bloc.

A revival in tourism has been helped by Slovenia's political stability. Particular attractions include picturesque Ljubljana, skiing in the Julian Alps, and the wine-growing region around Ptuj.

Slovenia was part of the Austro-Hungarian Empire until 1918, when it joined the Kingdom of the Slavs, Croats, and Slovenes (Yugoslavia).

• 1949 Tito's break with Moscow.
• 1989 Parliament confirms right to secede. Calls multiparty elections.
• 1990 Control over army asserted, referendum approves secession.
• 1991 Independence declared; first republic to secede. Yugoslav federal army repelled.
• 1992 First multiparty elections. Milan Kucan president, Janez Drnovsek prime minister.
• 1993 Joins IMF and IBRD.
• 1998 EU membership talks begin.
• 2000 Drnovsek ousted; returns to office after elections.