Croatia's National Recovery and Resilience Plan: Latest state of play

Briefing 05-02-2024

Croatia's National Recovery and Resilience Plan (NRRP) is an ambitious outline of reforms and investment designed to mitigate the pandemic's socioeconomic fallout. Following the December 2023 amendment of the Croatian NRRP, to which a REPowerEU chapter was added, the plan's worth reached €10 040.7 million (or 18.5 % of national gross domestic product (GDP) in 2019), an increase of over 59 % compared with the original (2021) version of the plan, which was worth €6 297 million in grants only. The amended plan comes with a grant allocation of €5 779.4 million and a freshly requested loan allocation of €4 254.2 million (of which more than 62 % is for the REPowerEU chapter). The grant part includes the June 2022 downward revision of Croatia's grant allocation of €785.1 million and the country's REPowerEU grant allocation of €269 million. In addition, Croatia has requested a €7.2 million transfer from its share of the Brexit Adjustment Reserve to its NRRP. So far, Croatia has received €3 503.1 million of RRF resources (34.9 % of the amended NRRP) in the form of pre financing and three grant instalments. The fourth payment request (grants) is being assessed by the Commission. The measures in the amended plan are designed to help Croatia overcome the socioeconomic ramifications of both the pandemic and the energy crisis, as well as to address the consequences of the two devastating earthquakes of 2020. The plan focuses on the green transition by devoting over 39 % of the resources to it. It also fosters the digital transformation by committing 20.1 % of the funds (excluding the REPowerEU chapter) to digital projects. In the context of the European Semester, the Commission assessed the implementation of the Croatian plan as 'well under way'. The European Parliament continues to ensure transparency and accountability through interinstitutional dialogues on RRF implementation, and scrutiny of the Commission's work. This briefing is one in a series covering all EU Member States. Third edition. The 'NGEU delivery' briefings are updated at key stages throughout the lifecycle of the plans.