Economic forum is a strong contribution to the further strengthening of Croatian-German relations

Stressing that Croatia is a reliable and strong partner for Germany, Prime Minister Plenković added that this partnership is also reflected in our political and cultural relations and in the fact that half a million Croats live in Germany and contribute to the German economy, but they are also part of an important mosaic of dynamic relations between the two peoples and two countries.

Germany is Croatia's first foreign trade partner, he said, and trade exchange reached 9 billion euros last year.

He also added that Germany is the fourth largest investor in Croatia, and as many as 1,300 German companies operate and work in our country. Croatia, he pointed out, is visited by millions of tourists from Germany every year, and last year there were 3.2 million.

In this context, he expressed particular satisfaction with the results of a survey conducted in cooperation with chambers of commerce, according to which 86 percent of German companies, with experience of doing business and investing in Croatia, decided to do so again, which was a great encouragement.

We are rapidly catching up with more developed members of the European Union

Presenting the general economic situation in Croatia today, Prime Minister Plenković recalled that according to the GDP per capita criterion, Croatia in 2016 was at 61 percent of the average development of the European Union member states.

Through the government's policy of catching up with those countries of Central and Eastern Europe that joined the Union before Croatia, he pointed out, today we are at 78 percent and have reached the level of, for example, Hungary, which has been a member since 2004.

We have succeeded in this, he pointed out, primarily through responsible management of public finances, tax reform, fiscal decentralization, huge investments in infrastructure and the creation of a business climate that is favorable for investors to choose Croatia as a destination for their business.

Over the years, Croatia has emerged from the procedures of excessive budget deficit and macroeconomic imbalances and has gradually strengthened its credit rating, which is now at investment level A according to all three global agencies, with a positive or stable outlook.

In addition, he reminded, Croatia has in the meantime become a member of the eurozone and the Schengen area, as the only member of the European Union to join them on the same day, and is close to becoming a member of the OECD.

With OECD membership, he added, we will round off our international position and complete a process that has lasted three and a half decades, in which we have gone through many reforms and efforts.

Record employment, lowest unemployment rate and large growth in salaries and pensions

At the same time, he stressed, the main task of the Government was to increase the living standard of Croatian citizens.

In this context, he stressed that today, compared to ten years ago, 320 thousand more people work in Croatia, and the total number of employed is a record 1 million and 750 thousand, with only 75 thousand unemployed, which is the lowest number ever.

Average salaries have increased, by more than 100 percent, as have median and minimum salaries, and average pensions have practically doubled.

The only problem we have faced has been inflationary pressures, the Prime Minister stressed, adding that the Government has taken a number of measures in recent years to help the most vulnerable in Croatian society.

With strong state intervention, we preserved the standard of citizens and the economy in times of crisis

Like everyone else, he added, Croatia faced a major energy crisis, one of the consequences of the Russia’s aggression against Ukraine, but that crisis never affected Croatian citizens, any company, any institution, as it did in many other countries across Europe, thanks to strong state intervention.

Oil product prices were maintained at a very affordable level throughout the crisis, he added.

In this context, he recalled that during the Covid pandemic, the state, through various measures, paid salaries to more than 800,000 people working in the private sector, preserved jobs and saved 130,000 small and medium-sized and micro companies, as well as large ones.

All of this has put Croatia on the horizon of companies and investors, who had not seen us before with all the references we have, said the Prime Minister, asserting that today Croatia is much more recognizable and attractive.

Revitalization of eastern Croatia

Speaking about infrastructure investments across the country, he particularly highlighted the success of the Slavonia, Baranja and Srijem Project, which was designed to revitalize eastern Croatia, which suffered greatly during the aggression of the Greater Serbia Milošević regime in the 1990s.

Through this project, four billion euros have been invested in five Croatian eastern counties so far for various projects, from agriculture to water management, governance, environment, strengthening entrepreneurial potential, and we are also building roads, digital infrastructure and making this part of Croatia more attractive for investment.

The city of Osijek, he stated, has become the first 5G city in Croatia, and their business zones are now really attracting foreign companies, even from the United States, in a way that was previously unimaginable.

In this context, he pointed out that the recently opened Trans-European Corridor Vc, which connects Budapest and Osijek, makes it possible to reach the Hungarian capital in an hour and 50 minutes.

Geographical position, political stability and high level of security

This puts Croatia in an excellent position, thanks to its geographical position, political stability and high level of security for its citizens, Prime Minister Plenković emphasized.

He called on German businessmen to invest in Croatia, and Croatian exporters to export more to the German market.

In this context, he expressed hope that today's Forum would contribute to strengthening existing and creating new partnerships, emphasizing that the Government would be available to everyone in this context and help within its powers.

"I believe that this meeting will be another contribution to strengthening Croatian-German relations," Prime Minister Plenković said at the end of his address.