Croatia Economic Forecast
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Croatia was at one time, considered the richest of all Yugoslav republics until the country was devastated after the Berlin Wall was destroyed and in the ensuing civil war that followed between 1991-1995. Investments from Eastern and Central Europe began to trend away from Croatia. However since 2000, the economy started to improve.
Croatia was at one time, considered the richest of all Yugoslav republics until the country was devastated after the Berlin Wall was destroyed and in the ensuing civil war that followed between 1991-1995. Investments from Eastern and Central Europe began to trend away from Croatia. However since 2000, the economy started to improve.
The Gross Domestic Product (GDP) of Croatia experienced a moderate but steady improvement in growth of 4- 6 percent – primarily due to a boost in tourism and transportation leading to higher consumer credit spending. Hoever, issues still plague Croatia such as an expanding import and export deficit, high unemployment, and uneven development regionally.
The country’s government is heavily involved with affecting change, creating more privatization to loosen resistance of public and political figures. In addition, the European Union (EU) has an accession process that many Croatia officials believe should be used to help boost both structural and financial reform.
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Croatia GDP Forecast
As with other countries, Croatia experienced some economic challenges starting in 2008 due to the world’s financial crisis. However, the Gross Domestic Product (GDP) has improved, primarily due to an increase in tourism. Tourism was responsible for almost 66 percent of growth in 2008. Industry and agriculture sectors also contribute to Croatia’s economy.
In 2010, Croatia GDP (Gross Domestic Product, Current Prices, US Dollar) was US$ 59.917 billion, shrinking at a rate of 1.456 percent due to the after-shocks of the economic crisis.
However Croatia’s economy is expected to pick up in 2011 as GDP is forecast to grow 1.64 percent to US$ 61.441 billion.
2015 forecasts predict GDP growth of 3 percent to US$ 75.938 billion as countries in Central and Eastern Europe recover completely from the financial crisis of 2008.
Croatia Unemployment Forecast
Croatia’s population stands at 4.429 million as of 2010, decreasing at rate of 0.052 percent from 2009. The unemployment rate of Croatia is 9.5 percent according to 2010 figures, down from 15.2 percent in 2009.
From 2008 to 2009, change in population was unmarked. Although Croatia’s economy declined in 2009, it received a recent boost in tourism, transportation, and road construction. However, in terms of population growth, none is expected.
As of 2010, 1.773 million people in Croatia are employed in; agriculture: 5 percent, industry: 31.3 percent, and services: 63.6 percent (according to 2008 figures).
Croatia Inflation Rate Forecast
In 2010, Croatia’s inflation rate was 2.5 percent, but its expected to increase to 2.75 percent in 2011. The 2015 forecast for Croatia reports a 3 percent inflation rate, showing little though steady uphill growth.
Croatia Current Account Balance Forecast
Croatia’s current account balance in 2011 was US$ -2.871 billion, up from US$ -2.3 billion in 2010, showing a 24.83 percent change. Forecasts put Croatia’s current account balance at US$ -4.855 billion ny 2015 growing 10-20 percent per year from 2010 – 2015.
