In comparison to other EU countries, home loans, or mortgages, in Croatia are relatively favourable.
According to data, home loans are most favourable for citizens of Slovakia. A long-term loan, with maturity over ten years, Slovaks can get at an interest rate of 1,67 percent, much cheaper than those living in one of the countries in the Eurozone. As far as Croatia is concerned, loans in the country are relatively favourable with an interest rate of 3,51 percent. According to data from the Croatian National Bank (HNB), apart from Slovakia, favourable loan terms are offered only by banks in Slovenia and Estonia.
However, last year was not so good for Croatia when it comes to loan terms; the average interest rate for home loans was 4,77 percent, whilst six countries in Central and Eastern Europe had more favourable terms, which only indicates that competition among Croatian banks in the struggle for new clients is tougher this year.
When it comes to entrepreneurship, comparative data for new EU members show that it is most difficult to be an entrepreneur in Bulgaria, Romania and Croatia. Loans up to one million Euros for a period up to one year in these countries can be obtained at an interest rate of 3,91 percent in Croatia to 4,18 percent in Romania. At the same time, in the Czech Republic, such loans can be obtained at an interest rate of 2,27 percent, almost the same as in the Eurozone (2,19%).