Croatian Politics & Economy

After proclaiming independence in 1991, Croatia faced the characteristic difficulties of a country in transition but also experienced the debilitating problems associated with regional war. The regional conflict ended in 1995 and from then Croatia began to recreate an enviable economy in the region and is an increasingly promising market for investment from European countries. The reformist coalition government has helped considerably in bringing about this change.

Encouraging foreign investment, strengthening trade and commercial relations between Croatia & western countries and bringing Croatia closer to the goal of EU membership are all key factors within Croatia's current foreign policy.

A child with a basket of grapes
A child with a basket of grapes A child with a basket of grapes
Rusty door knob in Tugare Rusty door knob in Tugare

Key points in Croatia's recent political and economic history...

  • Croatia gained membership of the Council of Europe in October 1996.
  • Croatia joined the NATO Partnership for Peace in May 2000.
  • World Trade Organization membership occurred in November 2000.
  • A Stabilization & Association Agreement was concluded with the European Union (“EU”) in October 2001.
  • A formal EU membership application was submitted in February 2003. Expected membership 2008-2010.
  • USAID injected approximately US $30-million into the country in 2003.

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