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Croatia addresses demographic crisis

Croatian prime minister Andrej Plenković presented measures to tackle population decline and low birth rates with a €685m plan.

The plan that takes effect in March 2024, will focus on improving conditions for parents. Maternity benefits will triple to €3,000 for the second half of parental leave, and paternity leave will double from 10 to 20 days. The single maternity allowance for newborns will also double to €618.

Plenković recognised that Croatia’s fertility rate of 1.53 was far below the replacement rate of 2.1 needed to maintain population levels. He stated that the new strategy was a comprehensive approach including reforms to taxation, education, health and housing to create an environment where families would feel supported.

The government also plans to invest €2.7bn in pre-school education, schools, gyms and single-shift teaching. By 2030, every child is expected to have a guaranteed place in kindergarten.

In addition to the demographic challenge, Croatia is also facing a significant brain drain. Since 2013, 400,000 people have left, many citing higher wages abroad.

Central and eastern Europe are suffering from low birth rates and mass emigration. According to the UN World Population Prospects 2024 projections, Croatia’s population is projected to decline by more than 40%, which is just 2.5 million people, by 2100.

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