Fitch Ratings, a global credit rating agency that evaluates and assigns credit ratings, has affirmed Croatia's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB+' with a Positive Outlook, reflecting optimism about the country's economic resilience and growth prospects.
Croatia's strong governance, GDP per capita surpassing peers in the 'BBB' category, and membership in the EU contribute to its positive rating. Notably, Croatia has demonstrated robust recovery from recent external shocks, with real GDP exceeding pre-pandemic levels and expected to outpace the eurozone average.
This growth is supported by prudent fiscal policies and significant reductions in public debt. The country's absorption of EU funds, coupled with ongoing structural reforms, is expected to further enhance its growth potential and convergence with EU income levels.
Additionally, Croatia's stable banking sector and improving external position are positive factors. ESG Relevance Scores highlight Croatia's political stability, rule of law, and creditor rights, all of which positively influence its credit profile.
