Croatia Faces €126 billion Annual Climate Damage, Calls for 1.1% GDP Investment

The Croatian Chamber of Commerce warned that climate change is already imposing a heavy economic burden on Croatia. Vice‑president Marija Šćulac said record heat, droughts and fires are turning into real costs, estimating that without adequate adaptation Europe could suffer up to €126 billion in damages each year.

Šćulac added that Croatia would need to invest roughly an extra 1.1 % of GDP annually for climate‑change adaptation and decarbonisation, citing World Bank figures. She stressed that “when we talk about climate change and climate resilience today, we are not talking only about environmental protection, but primarily about economic competitiveness.”

All major sectors are vulnerable: agriculture faces reduced yields, tourism may lose visitors during the hottest months, construction must adapt to extreme heat, and transport, logistics and the energy system are already feeling pressure from higher electricity demand and water scarcity.