Economy - overview Before the dissolution of Yugoslavia, the Republic of Croatia, afterSlovenia, was the most prosperous and industrialized area, with a per capitaoutput perhaps one-third above the Yugoslav average. Croatia faces considerableeconomic problems stemming from: the legacy of longtime communist mismanagementof the economy; damage during the internecine fighting to bridges, factories,power lines, buildings, and houses; the large refugee population, both Croatianand Bosnian; and the disruption of economic ties. Western aid and investment,especially in the tourist and oil industries, would help restore the economy.The government has been successful in some reform efforts - partially macroeconomicstabilization policies - and it has normalized relations with its creditors.Yet it still is struggling with privatization of large state enterprises andwith bank reform. The draft 1997 budget boosts expenditures on the repairand upgrading of infrastructure. In 1996, the substantial trade deficit was partially offset by increased earnings from tourism.

GDP purchasing power parity - $21.4 billion (1996 est.)

GDP - real growth rate 4% (1996 est.)

GDP - per capita purchasing power parity - $4,300 (1996 est.)

GDP - composition by sector
agriculture: 11%
industry: 30%
services : 59% (1994)

Inflation rate - consumer price index 4% (1996 est.)

Labor force
total : 1.444 million (1995)
by occupation: industry and mining 31.1%, agriculture 4.3%, government 19.1% (includingeducation and health), other 45.5% (1993)

Unemployment rate 13% (yearend 1996)

Budget
revenues : $3.86 billion
expenditures: $3.72 billion, including capital expenditures of $320 million (1994est.)

Industries chemicals and plastics, machine tools, fabricated metal, electronics,pig iron and rolled steel products, aluminum, paper, wood products, constructionmaterials, textiles, shipbuilding, petroleum and petroleum refining, foodand beverages; tourism

Industrial production growth rate 0% (1995)

Electricity - capacity 3.59 million kW (1994)

Electricity - production 8.03 billion kWh (1994)

Electricity - consumption per capita 2,208 kWh (1995 est.)

Agriculture - products wheat, corn, sugar beets, sunflower seed, alfalfa, clover, olives, citrus,grapes, vegetables; livestock breeding, dairy farming

Exports
total value : $4.6 billion (f.o.b., 1995)
commodities: machinery and transport equipment 13.6%, miscellaneous manufactures27.6%, chemicals 14.2%, food and live animals 12.2%, raw materials 6.1%, fuelsand lubricants 9.4%, beverages and tobacco 2.7% (1993)
partners: Germany 22%, Italy 21%, Slovenia 18% (1994)

Imports
total value: $7.6 billion (c.i.f., 1995)
commodities: machinery and transport equipment 23.1%, fuels and lubricants 8.8%,food and live animals 9.0%, chemicals 14.2%, miscellaneous manufactured articles 16.0%, raw materials 3.5%, beverages and tobacco 1.4% (1993)
partners : Germany 21%, Italy 19%, Slovenia 10% (1994)

Debt - external $3.15 billion (September 1995)

Economic aid
recipient : ODA, $NA
note: IMF has given Croatia $192 million; World Bank has given Croatia $100million

Currency 1 Croatian kuna (HRK) = 100 lipas

Exchange rates Croatian kuna per US$1 - 5.681 (January 1997), 5.434 (1996), 5.230 (1995),5.996 (1994), 3.577 (1993)

Fiscal year calendar year

NOTE: The information regarding Croatia on this page is re-published from the 1997 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Croatia Economy 1997 information contained here. All suggestions for corrections of any errors about Croatia Economy 1997 should be addressed to the CIA.