Economy of Croatia Crash Course

Economy of Croatia Crash Course

Croatia, the country quite famous
for its tourism industry faced a setback in the final quarter of 2018
in terms of Development and growth. They also witnessed a weak
external sector or export sector and the economic
activity barely grew since then. But the private sector of the
country grew fast and got strengthen which reduced inflation and helped
to improve the consumer confidence. Also, the fixed investment saw high
growth in a period of two years. But while moving forward, the
unemployment rate increased and decreased consumer confidence and gave a hit
to the dynamic economic growth. Croatia’s Economic Background: Croatia was also under
the rule of other countries and got its
freedom in the year 1991. This freedom drew a line
between Yugoslavia and also between the ethnic
and religious aspects. With this Croatia move on
to join hands with NATO in the year 2009 and also the
European Union in 2013. Croatia witnessed a coalition
government formed between the Croatian People’s Party
and other small parties. The political and the economic strength
grew faster after this coalition which got its a major contribution from
the shipbuilding and tourism sector. Croatia also faced a setback due to its
weak export sector and emigration sector. With this, the pace of privatization
remains a major challenge for them. Croatia’s Rule Of Law: It has been reported by the
experts that the private property laws and rights of Croatia are
quite strong and well established. But they still have conflicts and
legal ambiguity once in a while. The Croatian government has tried hard to
simplify the property laws and registration process by giving rise to judicial activities
and reducing the real-estate taxes. The Judiciary sector
is independent to date. It was also found that Croatia
has been working in the direction of anti-corruption
and has made good progress. Open Market Of Croatia: With the combination
of exports and imports, Croatia gained
100.7% of GDP growth. The average tariff rate remains around 2.0. Croatia has been constantly aiming to implement
a number of European directed barriers that would comprise fo regulations based
on technical and would be product specific. Croatia does not have opened screening
mechanism or filtering in the foreign investment sector which has open ground
for different countries to get hold of it. This in-turn made foreign-sectors
owners of 92% in the banking sector. Croatia’s Efficient Regulation System Croatia is facing a hard time
handling and managing the reforms. The reforms do exist, but the
process of business establishment and overall environment activities do
not have any sort of monitoring. With the introduction of new labor law,
an attempt was made to generate a labor market that is flexible and also dynamic
to give a better place for workers. Everything has been working, but at
a very slow pace and due to this slow pace Croatia has not been able to make
a mark in the Global Economic Market.

2 thoughts on “Economy of Croatia Crash Course

  1. Croatia Joined the Astro Hungarian Empire Nazi Germany and Yugoslavia after the ww2 this Video suggest it has been taken by force. I wonder what will happen to Croatia when the EU ends ?

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