Billions of Euros of support: World Bank and IFC key to Croatia's development

Croatia's Minister of Finance, Tomislav Ćorić, met with senior officials from the World Bank and the International Finance Corporation (IFC) in Bangkok during the annual meeting of the World Bank Group and the International Monetary Fund (IMF). The meetings took place between October 12 and 18. Ćorić presented current macroeconomic indicators for Croatia and emphasized the government’s commitment to sustainable public finances. He discussed ongoing projects and future activities outlined in the World Bank’s Cooperation Framework with Croatia for the fiscal period 2025–2030. The discussions highlighted the continued partnership and the importance of strengthening joint efforts aimed at promoting investment and economic growth. During talks with IFC Deputy Managing Director for Europe, Latin America, and the Caribbean, Alfonso García Mora, the results of past cooperation were reviewed, along with current economic challenges and priority activities under the existing framework. Both sides stressed the significance of continuing the partnership and enhancing collaborative efforts focused on encouraging investment and economic development. Ćorić noted the IFC’s significant contribution to the development of the private sector in Croatia and pointed out opportunities for further intensification of cooperation, particularly in the area of capital market development. The Croatian delegation welcomed the growing presence of the IFC in Croatia, especially through investments in sustainable financing and support for small and medium-sized enterprises. Discussions included projects in preparation aimed at modernizing and strengthening industrial capacities and accelerating energy transition. During his meeting with World Bank Executive Director Eugene Rhuggenaath, the importance of continuing cooperation with the World Bank in implementing development projects, technical assistance, and advisory services was emphasized. Rhuggenaath informed the Croatian delegation about recent developments and strategic priorities of the World Bank Group, taking into account global economic challenges and the group’s efforts in mobilizing private capital and creating new jobs. The Ministry of Finance delegation also participated in the plenary session of the World Bank Group, where the annual and financial reports for the fiscal year 2026 and the administrative budget for 2027 were adopted. Cooperation with the World Bank and IFC began in 1993. Since then, the World Bank has provided support to the public sector through loans worth approximately four billion euros and grants totaling around 63.9 million euros. Cooperation with the IFC, which is part of the World Bank Group, also started in 1993. To date, the IFC has provided financial support for investments in the private sector valued at over two billion euros, including approximately 1.4 billion euros from its own resources and around 740 million euros through mobilized funds, across a total of 50 projects, according to the ministry’s website. Earlier in Bangkok, Ćorić met with high-level representatives of the IMF and chaired the 16th meeting of the Coalition of Ministers of Finance for Climate Activities. Ćorić leads the Croatian delegation at the annual meeting of the World Bank and IMF, which includes representatives from the Ministry of Finance and the Croatian National Bank, including Governor Ante Žigman.