Over the past decade, Croatia has demonstrated economic resilience in a changing global environment. To maintain this progress, the country faces four main development challenges: low private sector dynamism, demographic changes leading to labor shortages, environmental sustainability issues, and institutional inefficiencies in the public sector. The Government of Croatia has requested continued support from the World Bank Group to help advance policy reforms and public sector investments.
The five-year Country Partnership Framework (CPF) for Croatia focuses on job creation as a driver of sustainable economic growth. The strategy aims to boost investment, foster innovation, and enhance environmental resilience while strengthening institutions for better service delivery.
The CPF will help Croatia achieve two broad outcomes. First, it aims to increase investment and create more productive jobs by nurturing innovation and building skills for tomorrow’s economy. This involves spurring investment in higher value-added sectors reliant on higher-skilled labor through an improved business environment and services.
Second, the strategy focuses on protecting Croatia's natural assets by strengthening environmental resilience and sustainability. The CPF will support transitioning to a greener economy by making energy and maritime transport sectors more sustainable.
The CPF also aims to deepen the partnership with Croatia to increase its role as a source of knowledge on complex development issues. It is aligned with national strategies and informed by diagnostics and consultations with local stakeholders.