engleski

CROATIA: Economic growth is expected to decelerate by the end of 2022 due to the impact of high inflation and energy prices

The pessimistic spring forecasts that projected the modest economic growth in 2022 due to the negative impacts of the war in Ukraine did not materialise, despite the moderation of economic growth in Croatia that occurred since the summer. On the contrary, the Croatian economy has demonstrated a solid level of resilience to the external shocks caused by the enormous rise of energy and food prices on the world market resulting in high inflation rates. Therefore, most of the latest domestic and international 2022 growth projections revised significantly upwards. The outlook for the continuance of the economic growth in 2023-25 is also not pessimistic. Despite the anticipation of more modest growth rates than previously expected, especially for 2023, the Croatian government and international organisations do not envisage that economy would plunge into a recession. Stronger economic recovery from the implications of the war in Ukraine is expected in 2024-2025 ; however, it tightly depends on success in restraining inflation as well as on ending the conflict.

Croatia, main economic indicators, factors contributing to economic growth, medium-term growth projections

SEE-6 Economic Outlook is a biannual publication in English published by the members of the SEEA association since 2015. The publication provides an overview of economic trends as well as short and medium-term forecasts for six countries in Southeast Europe. It is published by the Institute of Economic Sciences, Belgrade in cooperation with the partner institutions from Bosnia and Herzegovina, Croatia, Montenegro, North Macedonia and Slovenia, among which is IRMO, Zagreb.