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Andro Vlahusic, the Mayor of Dubrovnik, holding the fourth biggest budget in Croatia Andro Vlahusic, the Mayor of Dubrovnik, holding the fourth biggest budget in Croatia Niksa Duper / CROPIX

Dubrovnik has fourth biggest city budget in Croatia

Written by  Jul 28, 2016

Osijek is the fourth most populated city in Croatia thus it would be reasonable to expect its budget to be the fourth largest in the country after Zagreb, Rijeka and Split. But interestingly, the much less populated city of Dubrovnik has ''fatter budget'' than Osijek.

According to data from the City of Dubrovnik, it is evident that the planned budget for 2016 is 451.2 million Kunas, larger than the budget of Osijek which is 449.70 million Kunas. As the leading tourist destination on the Adriatic, Dubrovnik represents Croatia in the world and regularly fills up the city's treasury with the mega tourism money. But when you also bear in mind that Dubrovnik has a population of around 42,000 and Osijek around 108,000 the difference in budget is even more interesting.

In last few years Osijek has successfully withstood the ''attack'' of two other Croatian cities; Zadar and Slavonski Brod. From one side, the Osijek's position of the fourth largest Croatian city is endangered by Zadar's population size whilst Slavonski Brod is trying to take over Osijek's position as the capital of the Slavonia region.

The current budget of Zadar, which according to the 2011 census has a population of 75,000 inhabitants, is planned at 408.8 million Kunas 2016.

The budget of Slavonski Brod is 224.3 million Kunas and whilst it is much less with comparison to the budget of Osijek there has been an increase of 70 million Kunas over the years. In comparison to 2008 the budget was only 156 million Kunas.

On the other hand, the budget of Velika Gorica is quite interesting. Even though this city has always been living in the shadow of its much bigger neighbour Zagreb, nowadays it has a population of 65,000 inhabitants and a budget of 312 million Kunas. In 2006 its budget was 195 million Kunas.

The amount of the local budget partly depends on the state policy. For example, due to recent amendments to the Income Tax Act, the so-called mini tax reform, Osijek lost 22 million Kunas. In order to neutralise the effects of that decision the City council of Zadar made a decision to increase the surtax rate from 10 per cent to 12 per cent. In the mid of 2013 Slavonski Brod also decided to increase the surtax from 8 per cent to 12 per cent. The city of Osijek still hasn't changed its surtax rate of 13 per cent.

The Voice of Dubrovnik


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