Croatia and Covid-19: Economic measures to come out of lockdown

published on 27 April 2020 | reading time approx. 2 minutes

The economic measures that had been done until now have been saving jobs in conditions when many activities have been suspended or limited for most enterprises.

  
 
The decision on relaxing restrictions was made in consultation with epidemiologists and the Croatian government took account of how each of the measures will affect the economy and the life of citizens.
Economic and social activities will help us to gradually reactivate what currently has not been possible. The Government hopes that the gradual approach will achieve a good result for Croatia's economy and for the budget while taking care that the measures do not lead to the disease spreading.

 
Immediately, the trade will recover, by extending opening hours to stores currently operating from 5pm to 8pm, opening of stores with new technologies, IT equipment, electronic devices, construction materials and equipment behind, furniture and other home decoration, car dealerships and auto parts stores, opening of mini markets in smaller towns and change of working hours for bakers from 6am to 3pm, and Sundays to reduce crowds.

 
Opening of hairdressing salons, services for computers and household appliances, carpenters, beauty salons, laundries and dry-cleaners will also apply startinh Monday, 27 of April, as part of the first phase of the process.  Traffic that ensure daily migration of the border population for the purpose of providing work in a neighboring country and ensure the operation of a part of public transport in compliance with the prescribed safety instructions will also be open.

Isolation for officials after returning to Croatia from Slovenia, BiH and Serbia will be abolished. In agriculture, the quarantine for imported agricultural products will be introduced.

In the second phase, that starts on Monday, 4th of May, will be extended deadline for certain services (notaries, banks, courts) and urgently enable registration of residency because now it is impossible for a foreign worker with a work permit to apply to the HZMO and the HZZO.

As part of the third phase, starting 11 of May, shopping centers will reopen, while giving some priority to the collection of vulnerable population groups.

Everyone wants to find a model in the weeks to come to open the borders so that people can come to Croatia during the summer season.

During May, in order to support the tourism, the authorities will facilitate corridors for tourist arrivals, allowing free arrival from countries with similar epidemiological results, will offer  measures for nautical tourism, charter and will open smaller accommodations and camps (mobile homes that are autonomous and detached). In meantime, they will define working conditions of hotel restaurants, wellness conditions (swimming pools, saunas, massages) and opening of private accommodation.

As regards the financing of the government's measures to alleviate the impact of the crisis caused by the coronavirus, would be sought on the domestic capital market, the international capital market and from international financial institutions and the European Union.

 
The agreement between the European Central Bank and Croatian National Bank is encouraging to reduce the pressure on the kuna exchange rate. Croatia is one of the two countries intensively working on accessing the European Exchange Rate Mechanism (ERM II) and it is very important that it is being treated inclusively almost as if it were one of the 19 members of the euro area.