We concluded the previous year, marked by rising costs, both in borrowing and in daily life. Technological companies dominated the capital markets, as did the financial sector.

In the domestic market, Fortenova* seeks to divest from its agricultural segment, which is clear given the high costs and relatively weak earnings of that segment.

Apart from information on their investment in agricultural machinery, they did not disclose other data, but considering the developments in agriculture, one can infer the problems and reasons behind this decision.

It is interesting to note that the price of agricultural land in Croatia is the lowest per hectare anywhere in the European Union. The average price of a Croatian hectare is 3,700 EUR, while in the Netherlands, it is 23 times higher.

Croatian land is not inferior, quite the contrary, but systematic neglect has brought us to where we are. Whether someone will notice and change this, probably yes, and whether it will be foreign capital, most likely yes.

Croatia Airlines has announced the renewal of its fleet and has entered into leasing agreements for 12 new aircraft, while the Turkish Yildrim Group announced plans for a recapitalization of Petrokemija. For now, we await further information from the government regarding the details of the recapitalization.

As expected, there have been no changes in interest rates, as neither the ECB nor the Fed have adjusted interest rates, but we are all awaiting the moment when rates will start to fall and the cost of money becomes cheaper. The announcement is expected for spring or at the latest summer 2024.

In the domestic capital market, the CROBEX index is at its highest historical levels, driven by record growth of Zagrebačka banka, as well as excellent results from other banks and Hrvatski Telekom. The Zagreb Stock Exchange has followed the rise of the European stock index Stroxx 600.

Inflation in Europe started to slow down from the middle of the year, and this trend has continued, while Croatia has been following this trend for the past three months.