Golden Era for Croatia's construction sector

Construction Minister Branko Bačić announced that the Croatian construction sector is experiencing a "golden era" with substantial growth rates since 2016, largely driven by EU funds. Speaking at a conference organized by the Croatian Chamber of Civil Engineers, he highlighted that €25 billion from the EU's multiannual financial framework and the National Recovery and Resilience Plan would significantly benefit Croatian contractors. In the first quarter of 2024, Croatia's economy grew by 3.9%, with construction contributing 25% to this growth, and the volume of construction work increased by 14.5% compared to the previous year.

Bačić noted the sector's high activity level and the ongoing need for smart policies to sustain it. Despite an increase in the workforce to 147,000 at the end of 2023, a shortage of skilled labor remains a significant challenge. He also emphasized the importance of demographic revitalization and affordable housing, mentioning a forthcoming national housing policy plan.

Additionally, Bačić stated that Croatia is aligning with European transport strategies, now included in four major transport corridors. This inclusion will facilitate the financing of 420 kilometers of new railways and the improvement of eight ports and six urban hubs. The ministry is also engaging with new EU policies on transport infrastructure, green policies, decarbonization, and digital transformation.

Source: https://mpgi.gov.hr/news/minister-construction-sector-going-through-golden-era/17726