Wednesday, 21 November 2018

Another Dismal Assessment of Doing Business in Croatia

ZAGREB, November 21, 2018 - This year's HUP Score, which measures the progress of reforms in 12 key areas for doing business in Croatia, is 37 out of 100 points, one point less than in 2017, the Croatian Employers' Association (HUP) said at a presentation of this index on Wednesday.

"This score shows that we remain at the tail of the European Union. We are its worst performing member," HUP president Gordana Deranja said.

Noting that the HUP had been insisting on reforms all along, Deranja said that reforms would not have a strong effect on the economy if they continued coming from the Ministry of Finance alone.

"Although the score for fiscal consolidation is much better, a strong decline in the score for investment and business barriers and chronic problems relating to the burden on the economy and the labour market have resulted in a fall of the overall score for 2018. In addition to fiscal consolidation, productivity and competitiveness and capital supply also have positive scores," HUP said.

Results show that the best progress has been made in fiscal consolidation (from 54 points in 2017 to 56 in 2018), productivity and competitiveness (from 34 to 45 points) and capital supply (from 36 to 42 points).

On the other hand, the sharpest fall in the score was observed in the score for investment and business barriers, from 35 points in 2017 to 23 points in 2018.

For more on doing business in Croatia, click here.

Wednesday, 31 October 2018

Croatia Slides to 58th Place in Doing Business Rankings

ZAGREB, October 31, 2018 - Croatia slid 7 places to 58th place in the World Bank's latest Doing Business report covering 190 countries, and while last year it ranked 51st with a score of 77.70 points out of 100, this year it earned 71.40 points.

According to the report entitled "Doing Business 2019: Training for Reform", which was published on Wednesday, Croatia has the poorest performance in "Dealing with Construction Permits", plunging from 126th place to 159th place. It also slid in the "Starting a Business" segment, from 87th place last year to 123rd this year.

Croatia has improved performance in "Registering Property", moving up eight places to rank 51st. It also moved up in the "Getting Electricity" segment, from last year's 75th place to 61st place this year. Croatia also made progress in "Paying Taxes", going up from 95th to 89th place.

Measured by the "Getting Credit" criterion, Croatia fell from 77th to 85th place. It also regressed in "Protecting Minority Investors", from 29th to 38th place and in "Enforcing Contracts", slipping two places down to rank 25th.

Croatia ranked best in "Trading Across the Borders", scoring the maximum 100 points and top position, just as it did last year.

The overall ranking was topped by New Zealand, Singapore and Denmark. Hong Kong moved upward by one notch to fourth place, and South Korea fell from fourth to fifth place. Macedonia returned to the top 10 this year, inching up one spot to 10th place and displacing Sweden to 12th position.

Economy Minister Darko Horvat said on Wednesday that the latest World Bank Doing Business report clearly showed what Croatia was bad at and what should be changed, adding that by introducing the possibility of starting a business electronically, on which his ministry was working, Croatia would go up 10 places in the World Bank ranking.

"We are aware of the sore spots of the national economy and of the fact that some countries, notably those in our neighbourhood, make more radical and faster changes. The Doing Business report also gives us a clear signal in terms of what we are bad at and what we need to change," Horvat told reporters.

Horvat said that for the past two months he had been working with the ministers of public administration and justice on a specific, radical measure to remove all administrative barriers when starting a business in Croatia electronically, which is the segment where Croatia dropped the most in the Doing Business ranking. "Starting a business electronically will include the opening of a bank account, electronic payment of the necessary taxes without any physical signature. Once this is introduced, I am confident that it will help Croatia go up 10 places in the ranking."

In a message to investors, Horvat said that at the moment his ministry, the Croatian Employers Association and all interested business entities were working on two action plans that should be implemented in 2019 and result in the removal of many administrative barriers and alleviating the tax burden on businesses by removing non-tax levies in the amount of around one billion kuna.

The Croatian Employers' Association (HUP) director-general Davor Majetić, commenting on Wednesday on the latest World Bank's Doing Business Report, said that changes are happening in the country but they were too slow and insufficient to trigger significant headway required to make the national economy more competitive.

It is evident that the countries in the neighbourhood are undergoing changes much faster than we are and it is more and more difficult for our companies to compete with peers from those countries, he said. "We expect the government to keep implementing the reforms it has launched and to intensify efforts in conducting all other reforms needed to enhance the country's business climate."

To read more about Croatian economy, click here.

Sunday, 21 October 2018

Minister Not Worried About Croatia's Poor Judicial Independence Ranking

ZAGREB, October 21, 2018 - Justice Minister Dražen Bošnjaković commented on Saturday on a recent World Economic Forum report which ranked Croatia 120th out of 140 countries in terms of judicial independence, saying such a bad ranking was unrealistic.

Wednesday, 17 October 2018

Croatia Stagnates in Global Competitiveness Rankings

ZAGREB, October 17, 2018 - Croatia ranks 68th in the 2018 Global Competitiveness Index among 140 economies, with a score of 60.1, the World Economic Forum (WEF) said in its Global Competitiveness Report 2018 released on Wednesday.

Monday, 1 October 2018

Croatians’ Assets Grow Far Below Regional Average

ZAGREB, October 1, 2018 - The gross financial assets of Croatian households increased by 2.6% in 2017, their weakest growth in six years and far below the regional average, the Allianz insurance company says in its ninth Global Wealth Report.

Tuesday, 19 June 2018

Croatia at EU Bottom by Personal Consumption, GDP Levels

ZAGREB, June 19, 2018 - In 2017, Croatia, Bulgaria and Hungary were the European Union member states with the lowest consumption per capita across the European Union, Eurostat said on Tuesday.

Tuesday, 19 June 2018

Croatia Improves World Digital Competitiveness Ranking

ZAGREB, June 19, 2018 - Croatia has climbed four places since last year and is now in the 44th place on the 2018 World Digital Competitiveness Ranking and among 63 leading global economies, the National Competitiveness Council reported on Tuesday.

Wednesday, 6 June 2018

Roads in Croatia Ranked Among Best in the World

There is at least something in which Croatia is better than most other countries.

Thursday, 24 May 2018

In Economy Competitiveness Rankings, Croatia Slips Two Positions

ZAGREB, May 23, 2018 - Croatia is ranked 61st of the 63 leading economies whose competitiveness has been assessed by the Lausanne-based Institute for Management Development (IMD).

Tuesday, 20 March 2018

Zagreb Named 98th Most Liveable City in the World

ZAGREB, March 20 , 2018 - The Austrian capital of Vienna has been declared the world's most liveable city for the ninth consecutive time in Mercer's annual survey, and Zagreb ranks 98th in the list with 231 cities worldwide.

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