Croatia Economic Outlook
February 5, 2019Available data paints a mixed picture for the economy in the final quarter of 2018, following solid growth in the third quarter that was mainly driven by upbeat domestic demand. On one hand, industrial production plummeted in December—the sixth monthly contraction in a row—on a sharp drop in manufacturing output, pointing to waning economic activity at year-end. On the other hand, retail sales accelerated in October and November which, coupled with improved consumer sentiment on average throughout the quarter, suggest that private consumption strengthened somewhat in Q4. Furthermore, buoyant growth of tourist arrivals in the first two months of the quarter—with the country on track to log another record tourist season in 2018—bode well for maintaining a strong external position for the year overall.
Croatia Economic GrowthGrowth is expected to remain solid this year, underpinned by healthy domestic demand. Although private consumption is seen slowing, it should remain firm thanks to rising wages and employment. Capital spending, meanwhile, is set to accelerate on the back of increased absorption of EU structural funds and still-low financing costs. The external environment poses a key downside risk to the outlook as a slowdown in the Eurozone, Croatia’s main trading partner, and increased competition from other Mediterranean tourist destinations could dent export activity. FocusEconomics analysts expect growth of 2.7% in 2019, unchanged from last month’s forecast, and 2.5% in 2020.
Croatia Economy Data
5 years of Croatia economic forecasts for more than 30 economic indicators.
Get a sample report showing our regional, country and commodities data and analysis.
|Bond Yield||2.05||0.0 %||Feb 14|
|Exchange Rate||6.55||-0.54 %||Feb 14|
|Stock Market||1,751||-0.48 %||Feb 14|
Start Your Free Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.
Croatia Economic News
January 29, 2019
In December, industrial output fell 6.6% in working-day adjusted terms over the same month last year, deteriorating from November’s 0.8% dip and marking the sharpest drop in over six years.
January 16, 2019
Consumer prices fell 0.8% from the previous month in December, following the 0.2% drop recorded in November.
December 28, 2018
In November, industrial output fell 0.8% in working day-adjusted terms over the same month a year earlier, moderating from October’s 2.4% drop.
December 14, 2018
Consumer prices fell 0.3% from the previous month in November, contrasting the 0.6% increase recorded in October.
November 30, 2018
The Croatian economy weakened marginally in the third quarter, according to detailed GDP data released by the Statistical Institute on 30 November, with annual economic growth ticking down to 2.8% from 2.9% in the second quarter.