We have lowered our GDP growth forecast Croatia to 2.1% in 2025 and 1.6% in 2026. Despite minimal direct trade exposure to the US, the trade-reliant economy is vulnerable to weaker global demand as US President Donald Trump's trade war escalates. But Croatia should remain one of the fastest-growing Eurozone economies this year and next, thanks to loose fiscal policy, a thriving tourism sector, and significant EU investment.
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