Page 83 - bne IntelliNews Southeastern Europe Outlook 2025

approximately 40 kilometres from Zagreb, the Križ facility spans 16.7 hectares. It features advanced systems for receiving, storing, and distributing goods to Lidl outlets across the country.
Croatian retailer Pevex, a leading name in the do-it-yourself and consumer electronics market, has announced the launch of its new central warehouse in Zagreb. The facility, which represents an investment of €15mn, reinforces Pevex's position as the largest DIY retailer in Croatia by the number of stores.
Croatian food and pharmaceuticals manufacturer Podravka is taking over the agriculture division of Fortenova, the successor company to Agrokor, is Croatia’s top employer and largest retailer. Its agriculture division includes meat producer Belje, cooking oil producer Zvijezda, and food producers PIK Vinkovci, Vupik, Agrolaguna and PIK Vrbovec.
A new entrant to the Croatian retail market is Relay. Lagardère Travel Retail has entered a strategic franchise partnership with TAV Airports, part of Groupe ADP, and its subsidiary BTA Food & Services. Through this collaboration, the Relay brand will expand into Croatia and Kazakhstan. Three new Relay stores are set to open at Zagreb Franjo Tuđman International Airport in Croatia, along with additional outlets at Almaty International Airport in Kazakhstan.
In 2023, Croatia implemented a ban on Sunday shopping, allowing shops to open only 16 Sundays per year. Croatian retailers are unhappy with the law, saying it is threatening small businesses and driving layoffs in a crucial sector of the economy.
From January 1, 2025, Croatia introduced a charge for lightweight plastic bags under 15 micrometres, commonly used for bulk food packaging. Retailers set the price and must label these bags with “use bags sparingly,” displaying costs in relevant sections. These bags are banned at checkout counters and non-food stores. The move follows a 2022 ban on lightweight plastic bags under Croatia’s Waste Management Act, while reusable thicker bags remain permitted.
5.4.2 Banks
The banking sector in Croatia maintained stability with solid capitalisation and improving asset quality. The total capital ratio stood at 22.9% at the end of 1H24, reflecting strong financial health. Non-performing loans (NPLs) decreased, with the NPL ratio improving to 3.7% from 4.2% y/y.
Banks in Croatia reported a combined profit of €806.8mn in 1H24, a 14.6% increase y/y. This rise was primarily due to increased interest income. Major contributors included Zagrebačka Banka with a profit of
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