- Croatia joined the EU in 2013 and the Eurozone in 2023 — completing its post-Yugoslav transition into full European integration.
- Prime Minister Andrej Plenković leads the HDZ (center-right) government — maintaining stable center-right governance despite periodic coalition turbulence.
- Croatia's Dalmatian coast tourism is a major economic driver — making climate change, water scarcity, and overtourism significant policy challenges.
- Croatia is a NATO member and has supported Ukraine aid — though its geographic distance from Ukraine makes it less directly affected than eastern European members.
Croatia: HDZ Dominance, Euro & Schengen — and a President Who Won't Play Along
Croatia completed EU integration in 2023 — joining the Eurozone and Schengen in the same year. But a constitutional stand-off between PM Plenković and President Milanović keeps politics fractious.
Key Facts
| Capital | Zagreb |
| Population | ~4 million |
| EU Member Since | 2013 (28th member state) |
| EP Seats | 12 |
| Currency | Euro (adopted 1 January 2023) |
| Schengen | Full member since January 2023 |
| Prime Minister | Andrej Plenković (HDZ, in office since 2016) |
| President | Zoran Milanović (independent/left-populist, re-elected 2024) |
| Next Parliamentary Election | Due by April 2028 |
Current Polling — Party Standings
Approximate polling averages, early 2026. Sources: Crobarometer, Ipsos, N1 polls.
Current Political Situation
Croatia's political landscape is defined by HDZ dominance in parliamentary politics and a long-running institutional conflict between Prime Minister Andrej Plenković and President Zoran Milanović. Plenković, a former EU Parliament member and diplomat, has led HDZ and the government since 2016, making him one of the longest-serving EU heads of government. Under his tenure, Croatia achieved the rare distinction of joining both the Eurozone and the Schengen Area in the same month — January 2023 — completing what was widely seen as its EU integration project.
President Milanović presents a constant complication. He is a former Social Democrat PM who has drifted toward left-populism with strong pro-Russia, anti-NATO rhetoric — unusual for a country that fought a bitter war of independence from Yugoslav federalism in the 1990s. Milanović regularly blocks appointments, makes hostile statements about NATO allies, and positions himself as a nationalist critic of both the Brussels establishment and Plenković's centre-right governance. In 2024 he was re-elected by a comfortable margin, extending this friction for another five years. Croatia's semi-presidential system gives the president limited but disruptive powers, particularly over security and military matters.
The Social Democrats (SDP) remain the main parliamentary opposition, though they have struggled to capitalise on government fatigue. The Homeland Movement (DP, Domovinski Pokret), associated with Milanović's political orbit, has carved out a significant right-populist/sovereignist niche. Most (The Bridge), a centrist reform party, oscillates between supporting and opposing the government. Croatia's biggest structural challenges — emigration, housing costs in Zagreb and Split, and EU funds absorption — resonate more with voters than ideological divisions.
EU Parliament 2024 — Croatia's 12 Seats
| Party | EP Group | Seats | Notes |
|---|---|---|---|
| HDZ | EPP | 4 | Centre-right, dominant force; long EPP membership |
| SDP | S&D | 2 | Social Democrats; main left opposition |
| DP | Patriots for Europe / ECR | 2 | Homeland Movement; right-populist, Milanović-aligned |
| Others | Various | 4 | Most, Možemo! (Greens), independents |
Key Political Issues
Tourism generates roughly 20% of Croatia's GDP and attracts over 50 million visitors annually — making it one of the most tourism-intensive economies in Europe relative to population. This creates wealth but also structural vulnerabilities: seasonality, over-dependence on the Adriatic coast, and soaring housing costs that price locals out of coastal cities like Split and Dubrovnik.
Croatia has lost an estimated 700,000 to 900,000 citizens — up to 20% of its population — to emigration since EU accession in 2013. Free movement to Germany, Ireland, and Austria has drained Croatia's skilled workforce. Labour shortages are now a serious constraint on economic growth, and Croatia has had to import workers from non-EU countries to compensate.
Croatia takes a strong interest in the welfare of ethnic Croats in Bosnia-Herzegovina (Bosniaks, Serbs, and Croats share power under the Dayton Agreement). Zagreb has pushed for electoral reforms to increase Croat representation in Bosnia. Bosnia's EU accession candidacy — granted 2022 — is a long-term priority for Croatia, which regards Balkan stability as directly tied to its own security.
Croatia receives substantial EU structural and cohesion funds but has historically struggled to absorb them efficiently. The National Recovery and Resilience Plan (NRRP) — Croatia received €6.3 billion in EU NextGenerationEU funds — has pushed the government to accelerate public investment. Infrastructure, digitisation, and green transition are the priority areas.
Property prices in Zagreb, Split, and the Dalmatian coast have surged following euro adoption and increased tourism investment. Young Croatians face severe affordability challenges. The government has introduced homebuyer subsidies, but critics argue these inflate prices further without addressing supply constraints in a dysfunctional planning and construction sector.
Croatia's semi-presidential system creates structural friction when PM and President disagree. Milanović has obstructed military aid to Ukraine, questioned NATO missions, and verbally attacked allies including Poland and the US. His re-election in 2024 with 74% of the vote signals that his brand of sovereignist populism has a genuine constituency that Plenković cannot simply ignore.
Key Figures
Andrej Plenković
HDZ. In office since 2016 — one of the EU's longest-serving PMs. Former MEP and diplomat. Pro-EU, pro-NATO, oversaw Croatia's Eurozone and Schengen entry.
Zoran Milanović
Independent/left-populist. Former SDP PM. Re-elected 2024 with 74%. Pro-Russia on Ukraine, critical of NATO. Constant institutional adversary of Plenković.
Peđa Grbin
Social Democrat leader and main parliamentary opposition figure. Attempts to position SDP as a pro-EU centre-left alternative to HDZ without the populist edge of Milanović.