In the new issue of IPF Notes, Matea Cvjetković analyses the European Commission’s report on public investment in the EU Member States. In the past decade, public investments in the EU have mostly been stable, averaging around 3 to 3.5% of GDP, with few oscillations. Croatia – with a 5.7% share in 2024, rising from 3.8% in 2010 – is substantially above that average, mostly due to high share of EU funding.

The 2024 European Commission’s report highlights that greater demand for public investments also increases the need for them to be planned strategically. Such an approach is particularly important for Croatia to secure the continuity of public investment and properly prepare for a potentially reduced inflow of European funds in the future.