Sofia, Sept 26 (NDTV.COM) Bulgaria and Romania on Tuesday got green light to join the European Union in January 2007, but under tough conditions.

In it's report, the European Commission said that both Romania and Bulgaria needed to make further reforms in justice and home affairs, as well as food safety and state subsidies.

It also said that a significant chunk of expected economic aid should be made conditional on the completion of the reforms.

The President and Prime Minister of Romania welcomed the European Commission judgment that the country is ready to join the EU next year alongside Bulgaria.

Joining the European Union (EU) will give Romanians the "chance of a better life" said President Traian Basescu.

The EU's executive body issued its report on the two Balkan countries' readiness to join the bloc on Tuesday.

EU leaders will meet next month to give formal approval to Romania and Bulgaria, whose bid for EU membership had been stalled due to their flawed records on fighting corruption.

Both the countries are among the poorest nations in Europe. (With AP input)