The 2024 Update of the World Bank Group Croatia Systematic Country Diagnostic is now published. The 2024 SCD is an update of the 2018 edition, the first SCD produced for Croatia.
Highlights
- This 2024 SCD Update for Croatia assesses the development progress made since 2018 and identifies the most important constraints and opportunities to ending poverty and promoting shared prosperity on a livable planet.
- Croatia is well positioned to achieve substantial progress on multiple fronts if it seizes the opportunities provided by macroeconomic and financial stability, green and digital transitions, and access to sizable EU funds.
- However, several constraints need to be addressed to ensure inclusive, resilient, and sustainable growth, including improved provision of public services, increased productivity by tackling labor market challenges and focusing on the green agenda.
2024 Systematic Country Diagnostic Update for Croatia - Main findings
The SCD Update lays out four broad areas that need to be tackled to achieve inclusive, resilient, and sustainable growth to improve the long-term wellbeing of people in Croatia.
𝟭. 𝗘𝗳𝗳𝗲𝗰𝘁𝗶𝘃𝗲 𝗦𝗲𝗿𝘃𝗶𝗰𝗲 𝗗𝗲𝗹𝗶𝘃𝗲𝗿𝘆:
- Strengthen public administration capacity at central and local levels.
- Improve corporate governance of state-owned enterprises (SOEs) to enhance productivity and service delivery.
𝟮. 𝗜𝗺𝗽𝗿𝗼𝘃𝗲𝗱 𝗛𝘂𝗺𝗮𝗻 𝗖𝗮𝗽𝗶𝘁𝗮𝗹 𝗮𝗻𝗱 𝗦𝗼𝗰𝗶𝗮𝗹 𝗣𝗿𝗼𝘁𝗲𝗰𝘁𝗶𝗼𝗻:
- Enhance education coverage, quality, and labor market relevance.
- Improve primary and preventative healthcare delivery.
- Strengthen social assistance systems to protect vulnerable populations.
𝟯. 𝗕𝗲𝘁𝘁𝗲𝗿 𝗣𝗮𝗶𝗱 𝗝𝗼𝗯𝘀 𝘁𝗵𝗿𝗼𝘂𝗴𝗵 𝗛𝗶𝗴𝗵𝗲𝗿 𝗣𝗿𝗼𝗱𝘂𝗰𝘁𝗶𝘃𝗶𝘁𝘆:
- Support investment in R&D and green technology adoption.
- Ensure a favorable business environment and access to finance, especially for start-ups and vulnerable groups.
𝟰. 𝗘𝗻𝗵𝗮𝗻𝗰𝗲𝗱 𝗘𝗻𝘃𝗶𝗿𝗼𝗻𝗺𝗲𝗻𝘁𝗮𝗹 𝗦𝘂𝘀𝘁𝗮𝗶𝗻𝗮𝗯𝗶𝗹𝗶𝘁𝘆:
- Promote energy production from renewables and improve energy efficiency.
- Enhance climate change resilience and disaster risk preparedness.
By addressing these constraints and implementing the proposed actions, Croatia can achieve robust, inclusive, and environmentally sustainable economic growth, improving the long-term wellbeing of its people.
The SCD will inform the next Country Partnership Framework (CPF) 2025-2030 between the World Bank Group and Croatia and, thus, guide the focus of the World Bank Group's support to the country. Find out more about the current CPF.
What is a Systematic Country Diagnostic (SCD)?
A Systematic Country Diagnostic (SCD) is a report produced by the World Bank Group for a partner country, usually every five years. The aim of the SCD is to identify the most important constraints and opportunities to ending poverty and promoting shared prosperity on a livable planet. The SCD is based on a thorough analysis and consultations with a wide range of counterparts, stakeholders, and citizens.
Online consultations were open between November 15 – December 15, 2023. We thank you for your views on the challenges Croatia is facing and the priorities for achieving inclusive, resilient and sustainable growth during the consultations.