"There have been significant improvements in the perception of one's own financial situation in Croatia compared to last year. Twenty-four percent of the respondents believe that their financial situation is worse than a year ago, which is 10 percentage points down from 2023, and as many as 34% estimate that their financial situation is better, which is an improvement of seven percentage points compared to 2023," says the survey, conducted for Mastercard in March this year by the Improve agency on a sample of 1,016 respondents aged 18-55.
The survey also shows a decline in pessimism about the future. Only 15% of the respondents believe their financial situation will worsen, which is a drop compared to the previous year, while as many as 35% expect their finances to improve, with optimism being particularly on the rise among respondents aged 18-29, of whom 44% believe their finances will improve.
On the other hand, 58% of the respondents identify inflation as the main problem, which is a drop of six percentage points compared to 2023. One in three Croatians or 34% of the respondents are increasingly worried about crime and corruption, an increase of as many as 12 pp compared to 2023. Citizens are also worried about a fall in living standards, the inability to pay their own costs, a drop in the quality of healthcare and topics like immigration and climate change.
Disposable income highest in 40-49 age group
The respondents estimate the amount of their regular and additional income at €1,035 a month, with disposable income being the highest (€1,224) in the 40-49 age group, while the income of those in the age group 18-29 is significantly lower, at €751. Thirteen percent of the respondents said they did not have any disposable income.
Most of the income is spent on food and drinks, an average of €234 per respondent a month, followed by clothing and footwear, €113, loan repayment, €86, and saving and investment, €72.
At the same time, 83% of the respondents say that market disruptions and inflation have affected their household spending and that they spend more on food to be prepared at home (68%). The increase in spending in relation to last year is the most visible in the category of travel and restaurants, with 45% of the respondents spending more on travel and restaurants than in 2023.
Croatians save money through sales promotions (93%) and by comparing prices (88%). At the same time, 74% think that now is not the right time for major investments, such as the purchase of a flat or a car.
Gea Kariž, a director at Mastercard Croatia, says that the rise in optimism shown by the survey has been confirmed by the Experience Economy survey, conducted in January in a number of countries, including Croatia.
"The findings show that as Croats become more optimistic about their financial future, their spending on experiences increases. This year 57% of Croatians will spend more money on travel, music festivals and gastronomic adventures than last year," Kariž said.