Croatia's Competitiveness is Getting Better According to World Bank Annual Doing Business Report

By 28 October 2015

Croatia is ranked 40th out of 189 countries

According to World Bank's latest „Doing Business 2016“ report, which was conducted using a new methodology, Croatia is ranked 40th among 189 countries from around the world. World Bank notes that they were using an upgraded methodology to develop this report and the report is for the period between June 2014 and June 2015.

When it comes to the ease of doing business, Croatia is 40th with the total of 72,71 DTF (Distance to frontier) points. A high ease of doing business ranking means the regulatory environment is more conducive to the starting and operation of a local firm. DTF points describe how much each country is away from countries that have scored highest points in 10 covered topics, each consisting of several indicators, giving equal weight to each topic. 100 is the maximum amount of DTF points that can be awarded and 0 the minimum amount.


In the category International trade for 2016, Croatia was awarded the maximum amount of points (100) and it is one of the most successful countries in that category.  I, the category Enforcing contracts Croatia is 10th,  Protecting minority investors 29th, in Paying taxes 38th, Resolving insolvency 59th,  Registering property 60th, Getting electricity 66th,  Getting a loan 70th while in the category Starting a business Croatia ranked 83rd.

Croatia was awarded the least amount of points, resulting of course in the lowest ranking, in the category Dealing with construction permits. In this category Croatia is ranked 129th among 189 countries in the world so it goes without saying that there's plenty of room for improvement.


Prime Minister Milanović commented on the latest report saying: „When we were elected in 2011/2012 Croatia was 85th on that very same list. This is an enormous leap, in the last year alone we jumped by 25 places“: Of course, he is neglecting to mention that the methodology was changed in the meantime so that jump, even though it exists, is not as large as it appears at first glance.


Milanović continued: „Our goal is to be among the top ten countries in Europe and 20 in the world in the next four years. That's the direction in which we're heading. This is good, Croatia is now a better place for doing business but it is important to say that it remains a social country too“.


A high ease of doing business ranking means the regulatory environment is more conducive to the starting and operation of a local firm and we hope these results will serve at least as guidelines for any future government.


Summary of Doing BUsiness 2016 data for Croatia can be found HERE