Press release - 58% of members recorded growth in 2025, but workforce and administrative challenges continue to act as limiting factors.

“Results show that in 2025, 58% of companies assessed their business performance as better than the year before. Although the majority of companies continue to record growth, there is a gradual increase in the share of those whose results have stagnated, indicating a slowdown in economic growth. Almost 40% of companies increased the number of employees, while half maintained their existing level of employment,” said Rina Musić, President of the AmCham Board of Governors.

Workforce and Administration Remain Key Challenges
According to the survey results, the lack of an adequate workforce remains the main limiting factor for business operations for the third consecutive year. Complex and lengthy administrative procedures rank second, replacing labor taxation compared to last year, while inflation ranks third.

“Since 2021, we have recorded a gradual increase in the share of companies whose results have remained at the same level, pointing to a slowdown in growth. The most significant deteriorations in business conditions over the past five years relate to labor costs, the availability and quality of the workforce, the enforcement of legal rules and procedures, the efficiency of the judiciary, and the quality of the legislative framework. This clearly shows where further reform efforts are needed,” emphasized Andrea Doko Jelušić, Executive Director of AmCham.

Moderate Optimism for the Period Ahead
Despite the challenges, 72% of companies plan to expand their operations in Croatia over the next three years, while 64% plan new hiring. Of these, 17% intend to hire more than 20 new employees.

Strong Regional Positioning
In regional comparison, 38% of respondents assess business conditions in Croatia as more favorable compared to other countries in Central and Eastern Europe, representing a 6% increase compared to last year. However, the small market size, labor costs, and slow administration continue to be highlighted as the main disadvantages.

Artificial Intelligence Without Significant Impact on Employment
A large majority of surveyed companies (78%) already use artificial intelligence in their operations, most commonly for automating administrative processes, research activities, marketing and consumer analytics, business decision-making, and customer support.

A significant share of companies (85%) does not expect AI implementation to significantly affect the number of employees, while 32% anticipate the need for additional workforce upskilling to support its implementation.

About the Survey
The survey was conducted between December 9, 2025, and February 12, 2026, on a sample of 180 management board members of domestic and international companies operating in Croatia. The sample included 50% domestic companies, 47% foreign companies, and 3% mixed ownership companies. According to company size, 28% were large enterprises, 31% medium-sized, 24% small enterprises, and 18% companies with fewer than 10 employees.