Croatian Government Approves New Municipal Loans

by Marcus Liu - Business Editor
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Croatia Invests Heavily in Local Infrastructure with Government-Backed Loans

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January 8, 2026 – Croatia is experiencing a surge in infrastructure advancement as the government approves loans totaling millions of euros for cities and municipalities across the country. These investments aim to bolster local economies and improve the quality of life for residents thru improvements to transportation, education, sports, and cultural facilities.

Record EIB Funding Fuels Croatian Infrastructure Projects

in 2024, Croatia received a record €1.24 billion in new financing from the European Investment Bank (EIB) Group, a significant increase from the €464 million received in 2023 [[1]]. A ample portion of this funding, €400 million, is dedicated to upgrading and expanding Croatia’s rail system [[2]]. This represents the largest-ever financing operation by the EIB in Croatia, forming part of a broader €900 million agreement [[3]].

Key Cities and Municipalities Receiving Funding

Sixteen cities and municipalities have been approved for loans,with a diverse range of projects planned.Several cities are receiving significant funding,including:

Split

Split has secured loans totaling €56.4 million, with €46.9 million allocated for a 15-year term and €9.5 million for a 25-year term. These funds will support road projects, the expansion of the Žnjan plateau, and the construction of underground parking facilities.

Sisak

Sisak will receive €12 million over a 12-year period to invest in kindergartens, sports and leisure facilities, and cultural institutions.

Bjelovar

Bjelovar is investing €11.6 million in improvements to its education and sports infrastructure.

Hvar

The historic town of Hvar is allocating approximately €9 million to the reconstruction of Fortica Fortress, a significant cultural landmark.

Other Notable Investments

Beyond these major recipients, numerous other communities are benefiting from the government’s loan program. Investments are planned in Đurđevac, Karlovac, Opuzen, Čepin, Pirovac, Podgora, and Zrinski Topolovac, focusing on essential infrastructure such as school buildings, sports facilities, kindergartens, streets, cemeteries, and general municipal improvements.

Looking ahead

These substantial investments signal a strong commitment to modernizing Croatia’s infrastructure and fostering sustainable development. The projects, supported by both national government initiatives and significant funding from institutions like the EIB, are expected to have a positive impact on the Croatian economy and the well-being of its citizens for years to come.

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