Deposits in Croatian commercial banks reach new recordAdriatic Journal 8 November 2018
At the end of September, total deposits in commercial banks in Croatia amounted to HRK 288bn (EUR 38.7bn), up by HRK 14bn or 5.2% more than in the same period last year, according to new analysis by Raiffeisenbank Austria (RBA). Thus, the trend of growth of total deposits on an annual level has continued since December 2011. This is mostly due to the strong increase in demand deposits, which include funds held in bank accounts, amounting to HRK 86bn (EUR 11.6bn) in September, up 23.8% year-on-year. Savings and time deposits, however, registered an annual decline, according to RBA analysts. At the end of September, they stood at HRK 202bn (EUR 27.2bn), down 1.1% year-on-year.
The European Commission on Thursday raised the estimate for growth of the Croatian economy this year to 2.8% from the previous 2.6%. The Commission also boosted the growth forecast in 2019 to 2.8% from the previous 2.5%. Thus, in 2019 the gross domestic product (GDP) is expected to reach the pre-crisis level, while in 2020 growth could slow to 2.6%. The Commission estimates the household consumption does not show any signs of slowing down, supported by positive trends in employment and wages.