Invest in Croatia

Why Croatia?

• Growth in property value projected to be 20-30% per year
• Tourism is forecast to grow 7.8% per year for the next decade
• One of the top 5 fastest growing travel and tourism destinations in the world
• Thriving, stable economy rising on average by over 3.8% per annum
• Established democratic political system
• On track for EU accession in 2009
• Thriving property market increasing at 20-30% per annum
• High demand, limited supply
• Market set to rise fourfold
• Run-up to EU membership will sustain marketplace

TOURISM AND PROPERTY

By 2015, Croatia is expected to become one of the world's top 5 most popular travel and tourist destinations. The demand to visit Croatia is forecast to rise at a rate of 7.8% per annum over the next decade. Main Street, Dubrovnik, Croatia

Narrow coastal strip
In tourism hotspots, property prices are booming. One reason for this is that the Croatian coast is only a thin strip of land between the sea and the mountains.

Strict building controls
Added to this, the Croatian authorities have put strict controls in place to preserve the beauty of the coastline. With these strict planning and building laws in force, new build developments are restricted within 100-300 metres of the shore.

Rising demand for property
Incomes in Croatia are high and they're rising. With stable economic growth and a thriving middle class domestic demand for property is on the rise too.

Mortgages are available
Mortgage finance is growing fast and represents 7.7% of GDP - the highest in Southeatern Europe. In the UK, that figure is over 60%. The EU average is 44%. So mortgage lending is set to continue to grow for many years to come.

Developing air travel
Croatia's main international airports, Zagreb and Dubrovnik are becoming increasingly accessible from all over the world. From the UK, British Airways now offer daily flights from Gatwick to Dubrovnik, and three flights a week to Split, plus a Manchester service three times a week to Dubrovnik. Croatia Airlines currently operates a daily service to Zagreb with sporadic flights to Rijeka, Split, Dubrovnik and Pula. Aer Lingus also offers a service to Dubrovnik from Dublin. Budget airlines are on the way as the "open skies" agreement comes into effect in May 2006. Mljet, Croatia

ECONOMY

Croatia's has a solid economy that is growing at 3.8% per annum. The Croatian government is also actively pursuing membership to the EU by 2009. Both the Croatian government and international organisations are looking to invest in Croatia in the medium to long term, seeking to strengthen the economy by raising skills, which means that Croatia is positioning itself well to be a successful economy throughout the 21st century.

Road transport
The Croatian government's transport programme aims to create around 400 km of motorways, linking the capital with main trading cities on the coast and with the regional capitals. Between 1998 and 2002 the country added some 500 km of roads, of which 125 km were motorways.

POLITICS

Croatia is an effective democracy and politics in Croatia are centrist and stable. There is widespread political agreement to pass any economic and political reforms needed to make investing in the Croatian property market safe, secure, and predictable.

Joining the EU
Croatia is also well on its way to joining the European Union (EU) by 2009. Setting its sites on the EU means the country has to discipline itself in a number of ways, politically, economically and in terms of its legal systems.

Building bridges
The Croatians are also busy building new relationships and making agreements with other Europe countries. They have also begun the complex task of rebuilding relations with the Bosnians and Serbs.