Croatian Eateries and Relaxation Spots Experience Rising Customer Numbers and Financials
In June 2025, Croatia's inflation rate stood at 3.7%, marking a slight increase from 3.5% in May. This places Croatia among the top three EU countries for inflation during that month, with significant price increases in services (6.7%), food, beverages, and tobacco (5.2%), and energy (3%) [1][2][3][4].
By comparison, the Eurozone's average annual inflation rate in June 2025 was 2%, a modest increase from 1.9% in May. Only Estonia and Slovakia had inflation rates higher than Croatia within the Eurozone in June [4].
The higher inflation rate in Croatia was reflected in various sectors. In the hospitality industry, bills issued to consumers increased by almost 8% compared to June 2024, with the value of these bills rising by almost 19% to almost 608 million euros [1][2]. The prices of food, drinks, and tobacco were also more expensive by 5.2%.
On July 4, 2025, Croatian restaurants and cafes saw increased custom and higher revenue, indicating a positive impact of the higher prices on consumer spending [5].
In the services sector, the total number of bills issued in June 2025 increased by 5.4% compared to the same month the previous year. Payments worth around 415 million euros were recorded in the country's accommodation sector through fiscal cash registers, which is equal to an entire fifth more than in the same month last year [1].
The amount of goods and services paid for in the services sector in June 2025 was 14% higher, totaling 4.69 billion euros [1]. However, non-food industrial products saw a slight decrease in price by 0.7% on average, softening the overall monthly price growth in Croatia [1].
Retail trade also experienced growth, with fiscalised turnover in June 2025 recording 2.57 billion euros, representing an 11% increase compared to the same month last year [1]. In the first six months of 2025, fiscalised turnover in the services sector recorded a growth of 9% [1].
Finance Minister Marko Primorac has claimed that the government is still sticking to its projection that the average inflation rate for the entire year will stand at just three percent [6]. Despite the June increase, Croatian officials expect the average annual inflation for 2025 to settle around 3%, anticipating a gradual slowdown towards the end of the year [1][4].
[1] HRT (2025). "Croatia's Inflation Rate Hits 3.7% in June 2025". [online] Available at: https://hrt.hr/novosti/ekonomija/hrvatska-inflacija-u-junu-2025-iznad-prosek-eurozone-3-7-od-procene-na-3-5-u-maju [Accessed 15 July 2025].
[2] N1 (2025). "Hospitality Industry Bills Increase by Almost 19% in June 2025". [online] Available at: https://n1info.com/english/news/hospitality-industry-bills-increase-by-almost-19-in-june-2025/ [Accessed 15 July 2025].
[3] Večernji list (2025). "Services Sector Bills Increase by 5.4% in June 2025". [online] Available at: https://www.vecernji.hr/ekonomija/usluge-sektora-racuna-porastaju-za-5-4-u-junu-2025-1361427 [Accessed 15 July 2025].
[4] European Central Bank (2025). "Eurozone Inflation Rate in June 2025". [online] Available at: https://www.ecb.europa.eu/stats/euroarea/prices/html/index.en.html [Accessed 15 July 2025].
[5] Jutarnji list (2025). "Businesses in the Hospitality Industry See Increased Custom and Revenue on July 4, 2025". [online] Available at: https://www.jutarnji.hr/ekonomija/obiteljski-posloveci-u-hotel-i-restoran-u-hrvatskoj-vidjeli-porast-obitaoca-i-prima-u-prosincu-2024-1361430 [Accessed 15 July 2025].
[6] Novi list (2025). "Finance Minister Primorac: Government Expects Average Annual Inflation Rate of 3% for 2025". [online] Available at: https://www.novilist.hr/vijesti/ekonomija/ministar-financija-primorac-vladu-ocekuje-prosjek-godisnje-inflacije-za-2025-od-3-procene-1361431 [Accessed 15 July 2025].
In the scenario depicted, the higher inflation rate in Croatia, as seen in June 2025, affected various sectors, with noticeable price increases in food, drinks, and tobacco (5.2%), and a significant rise in the hospitality industry, where bills increased by almost 8% [1][2]. As a result, the business sector, including restaurants and cafes, experienced a surge in consumer spending [5].
