Zagreb - The Croatian Parliament on Friday passed the state budget for 2025, projecting revenues of €33 billion and expenditures of €37 billion.
The budget received the support of 76 MPs, while 65 voted against it.
The budget, which is crucial for shaping the country’s economic direction, is underpinned by an anticipated 3.2% economic growth rate for the year.
The government highlighted key priorities of the budget: increasing wages, pensions, and social benefits to boost purchasing power and improve citizens’ quality of life; enhancing economic competitiveness and innovation to catch up with more developed EU member states; and focusing on demographic and housing policies.
Investments in equipping and modernising the Croatian Armed Forces will also continue, with defence spending expected to reach 2.01% of GDP next year. Other priorities include post-earthquake reconstruction, rural development, and more.
The government projects real economic growth of 3.2% in 2025, an inflation rate of around 2.7%, and a 2.9% increase in employment. Public debt is expected to decline from 57.4% of GDP this year to 56% next year.
Eight amendments were incorporated into the 2025 budget, proposed by both opposition and ruling majority MPs. Of them, only one of approximately 200 opposition amendments was accepted and it was about allocating €2 million to renovate and update the dormitory of the Construction School in Čakovec, a proposal moved by Ivica Baksa (NPS).
Additionally, seven amendments from the parliamentary majority were approved, including €500,000 for the restoration of the Šaulovec Castle complex and €200,000 for the refurbishment of the Varaždin student dormitory, both proposed by Predrag Štromar (HNS).
A joint amendment by Branka Juričev Martinčev (HDZ) and Hrvoje Zekanović (HDS) to allocate €400,000 to the Šibenik-Knin County General Hospital was voted in.. Another amendment from the Bosniak minority MP Armin Hodžić secured an additional €25,000 for the Operational Programme for the Bosniak Minority.
Other approved amendments include €20 million annually in 2026 and 2027 for the planned construction of a new Clinical Hospital Center in Osijek, proposed by Nataša Tramišak (HDZ), and €1 million to assist young rural families with housing, championed by independent MP Marijana Petir.