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Economy and Banking Sector of Croatia

Financial System Development

Financial System
61.9, 63rd out of 144 countries
Banks' Soundness
69.0, 67th out of 144 countries

According to World Economic Forum's Global Competitiveness Report 2019, financial market development in Croatia is scored 61.9 out of maximum 100.0 and ranked 63rd out of 144 analysed economies.

Financial Market Development in Croatia.

Chart 1. Financial Market Development in Croatia. Source: WEF.


Soundness of banks is scored 5.1 bringing Croatia into the 67th place.

Soundness of Banks in Croatia.

Chart 2. Soundness of Banks in Croatia. Source: WEF.

Further Information

Banking Focus

Banks in Croatia are mainly focused on the following areas:

  • retail and corporate banking
  • housing financing
  • retail banking

Banking Supervision

Hrvatska Narodna Banka

Hrvatska Narodna Banka

Banking Sector Structure

Number of Banks
26
Consolidated Assets (2018)
64,698.16 mln EUR  (+5.60%)
Recent Changes (2018)
new banks: 0, closed banks: 5

Currently there are 26 credit institutions operating in Croatia.

In 2018 consolidated banking assets in Croatia were 64,698.16 mln EUR. The consolidated banking assets' evolution is shown at Chart 3 below.

Consolidated banking assets in Croatia.

Chart 3. Consolidated banking assets in Croatia.

Recent structural changes (2013 - 2018) of the banking sector of Croatia are summarised in Table 1.

201320142015201620172018
Number of Opened Banks000000
Number of Closed Banks020115

Table 1. Recent structural changes in the banking sector of Croatia.

All the credit institutions operating in Croatia can be classified into several categories. Table 2 summarises the number of banks in each category.

CategoryNumber of Banks
Banks21
Branches of foreign banks1
Central banks1
Housing savings banks3

Table 2. Number of banks by category in Croatia.

There are 1 branches of foreign banks from 1 different countries in Croatia. Table 3 shows the number of branches grouped by the country of origin.

Country of OriginNumber of Branches
AT Austria1

Table 3. Number of branches of foreign banks in Croatia grouped by country of origin.

Deposit Guarantee Scheme

Maximum Protected Amount
100,000 EUR

Deposit guarantee scheme is a financial stability mechanism implemented in many countries to protect bank depositors against the loss of their deposits in the case when a bank is unable to meet its obligations to depositors by compensating certain deposits held by depositors of the bank. This compensation is paid out from the contributions which banks have made into a deposit guarantee fund.

From a depositor's point of view it is important to know:

  • if the depositor is eligible within the terms of the deposit guarantee scheme;
  • if the depositor's bank is a participant in the deposit guarantee scheme;
  • if the depositor's type of deposit is covered by the deposit guarantee scheme.

All these details about deposit guarantee scheme in Croatia are summarised in Table 4.

Maximum Protected Amount
100,000 EUR
Scheme Participants
all credit institutions operating in Croatia (including branches of foreign banks)
branches of Croatian banks abroad
Eligible Depositors
natural persons
legal entities
non-profit organisations
local municipality
county units
Non-Eligible Depositors
credit institutions
financial institutions
investment companies
joint venture entities
public administrative bodies
members of the Management Board
members of the Supervisory Board
Covered Accounts
all deposits, including
  • current accounts
  • giro accounts
  • business accounts
  • savings accounts
  • time deposit accounts
Paid In Currency
HRK

Table 4. Deposit guarantee scheme in Croatia.

Further Information

Country Ceiling for Deposits

Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.

Local Currency (Croatian kuna)
Baa1 (lower medium grade)
Foreign Currency
Ba3 (non-investment grade speculative)

Local currency (Croatian kuna) deposit ceiling for Croatia is set to Baa1 (lower medium grade), foreign currency deposit ceiling is Ba3 (non-investment grade speculative).

Deposit Rates

Average Deposit Rate (Mar 2020, HRK)
0.09 %  (Feb 2020: 0.12 %)
In March 2020, an agreed annualised deposit rate in local currency (Croatian kuna) of new contracts with agreed maturity up to 1 year between credit institutions and households was 0.09%.
Deposit Rates in Croatia.

Chart 4. Deposit Rates in Croatia. Source: ECB.

Further Information