Last update: May 2020

Croatia has 4 million inhabitants and the capital is Zagreb. The currency is the Croatian Kuna (HRK), 7.3 HRK = 1 EUR.

Economy
Croatia’s GDP is € 61 billion (2019). Tourism accounts for 20% of GDP, followed by the agricultural and ICT sectors. 7% of employment comes from tourism in Croatia.

In 2019, Croatian experienced an economic growth of 2.9%. To give a complete picture, it is important to consider the Italian economy, to which Croatia is very connected. Economic growth in Italy was nil in 2019 (0.0%).

Trade
Croatia’s main trading partners are Germany (15%), Italy (13%) and Slovenia (10%). This applies to both imports and exports.

Crisis and unemployment
Croatia experienced a six-year economic crisis from 2009 to 2014.

Graph: Unemployment Croatia 1999-2019

The unemployment rate in Croatia fell rapidly thereafter. In early 2020, the unemployment rate is 6.5% in Croatia (see graph), compared to 3% in the Netherlands.

Creditworthiness of corporate and government bonds

Fitch values ​​Croatia in April ’20 with a ‘BBB rating with stable outlook’. This appreciation stands for “lower medium grade”, with which Croatia is well positioned in the middle segment. Source: Trading economics

Member of the EU
Croatia has been a member of the EU since 2013 and has access to the open market. Croatia can be seen as the leader of the other Balkan countries.

Croatian citizens still often earn their money in the socialist way: through state aid, government functions, and other government-regulated companies.

A small group of innovative entrepreneurs are starting to make their way into the new ‘open’ market where there are many opportunities.

Life in Croatia
When we look at necessary goods, life in Croatia is qualitative. It is a safe country, with quality food, untouched nature, a mild climate, many cultural visits and tourist activities. Families with less to spend on average often also have access to local food and nature reserves. Croatia does less well in the field of luxury goods. If you are looking for a luxury good, it is most likely that you will find it in Zagreb. If not, Italy offers a good solution.