The Croatian Recovery and Resilience Plan provides a framework for achieving reforms and investments crucial for Croatia’s faster recovery and its long-term sustainable development.
The reforms and investments in the plan will help Croatia become more sustainable, resilient and better prepared for the challenges and opportunities of the green and digital transitions. The reforms address bottlenecks to lasting and sustainable growth, while investments are targeted to accelerate the transition towards a more sustainable, low-carbon and climate-resilient economy, to support post-earthquake recovery, to maximize the benefits of the digital transformation and to ensure social cohesion.
The plan consists of 146 investments and 76 reforms. They will be supported by €6.3 billion in grants. 40.3% of the plan will support climate objectives and 20.4% of the plan will foster the digital transition.
The plan supports the green transition through investments of €789 million in energy efficiency and post-earthquake reconstruction of buildings. Furthermore, €728 million will be invested in sustainable mobility, notably in upgrading railway lines, autonomous electric taxis with supporting infrastructure adapted for people with disabilities, installing charging stations for electric vehicles and introducing zero-emission vehicles and vessels. In addition, the plan allocates €658 million to low-carbon energy transition through modernising energy infrastructure, supporting investments for the production of advanced biofuels and renewable hydrogen and financing innovative carbon capture and storage projects. €542 million will be invested in supporting businesses for green transition and energy efficiency, supporting their projects aimed at boosting the green economy, sustainable tourism and investing in green technologies.
Croatia’s plan supports the digital transition with investments and reforms in digitalisation of the public administration and higher education and digital connectivity of rural areas. The plan will invest €283 million in digital transition of the public administration through digitalisation of the justice system, deployment of the Digital Identity Card and creation of a one-stop-shop for all public administration’ online services. Moreover, €130 million will be invested in increasing national broadband coverage with gigabit connectivity in rural areas and construction of electronic communications infrastructure for 5G network thereby increasing the digital connectivity of rural areas. In addition, the plan will support with €84 million the digitalisation of higher education through investing in e-learning and digital teaching tools.
The plan reinforces economic and social resilience with €277 million for redesigning active labour market policies to boost employment and self-employment, reskilling and upskilling and improving the provision and adequacy of social benefits and services. In addition, €995 million will be invested in education and research, including by improving access to early childhood education and care. €739 million will be allocated to measures to improve the business environment through reducing administrative burdens, lowering regulatory requirements for professional services, and increasing access to financing for businesses. The plan will also support increasing the efficiency of the public sector and the justice system with €200 million.