Zagreb - Opposition and ruling parliamentary groups on Thursday presented sharply contrasting views on next year's state budget, proposed by the government and currently under debate in parliament.
"This is the fifth year in which inflation has outpaced economic growth, and unfortunately this is becoming a permanent pattern," said Boris Lalovac of the SDP, calling it a serious structural problem in the economy.
He said the government's measures to freeze food prices have failed and that utility costs have been rising for the past four months. Lalovac questioned the government's projection of a 2.8% inflation rate for next year and noted that the Croatian National Bank paid out over €1 billion to commercial banks despite the country having the second-highest inflation rate in the euro area.
Nikola Grmoja of Bridge labelled the government the main driver of inflation, insisting the decision to replace the kuna with the euro has further fuelled price rises. He said Croatia's growth relies heavily on consumption, tourism and EU funds, with one in eight euros in the budget coming from Europe, and questioned what will happen when that support ends.
Sandra Benčić of We Can! argued that the main losers in the 2026 budget will be ordinary wage earners, who bear "the full weight of Plenković's inflation," which she said is internally generated rather than imported. She added that real estate speculators and trading profiteers are the main beneficiaries.
This is a typical HDZ budget, with no consideration for vulnerable groups or the biggest challenges, added Anka Mrak Taritaš of GLAS.
Predrag Štromar of the HNS, on the other hand, described the budget proposal as solid, citing clear economic growth, rising wages, increased pension benefits, a deficit kept below 3%, and hopes for further reductions in public debt.
Miro Totgergeli of the HDZ said the draft budget once again confirms the stability of public finances and reflects the government's consistent and responsible policy. "We face a period of measured but secure growth and strong investment in key development priorities. This budget shows that Croatia remains on a path of stability and resilience for the benefit of citizens, workers and the economy."
Ivica Kukavica of the Homeland Movement called the draft budget balanced and development-focused, in line with all obligations. He welcomed allocations for demographic initiatives, investments in livestock and dairy sectors, and support for fisheries, in line with government efforts to secure food self-sufficiency.