New €25 million investment package for Croatian islands announced

Hvar

Croatia has invested approximately €4.6 billion in its inhabited islands over the past decade, with a further €25 million in new contracts now set to support continued improvements in infrastructure, public services, and quality of life, the government said on Monday.

The figures were highlighted at a meeting of the Otočno vijeće (Island Council), held in Postira on the island of Brač, where 104 contracts were formally awarded by the Ministry of Regional Development and EU Funds, and the Ministry of Environmental Protection and Green Transition.

The new funding package is aimed at strengthening infrastructure, healthcare, education, and broader island development initiatives across the country.

Croatia has 52 inhabited islands, which have become a central focus of national development policy. Over the past ten years, investment in island regions has totalled €4.6 billion, with funding levels increasing by €553 million compared to 2025 figures.

Officials noted that islands play a significant role in Croatian tourism, accounting for almost one-quarter of all overnight stays in the country, underlining their importance in both seasonal and year-round tourism development.

A total of around 5,400 projects have already been implemented on Croatian islands under the current development framework.

Healthcare provision on the islands has been expanded through new mobile services and emergency response systems, including mobile clinics, mobile pharmacies, and helicopter emergency medical services.

The helicopter base on Brač has become a key operational centre covering a large part of the Adriatic. Since its establishment two years ago, the service has carried out around 4,000 interventions.

Further investment is planned in specialist medical training, primary healthcare centres, telemedicine, and digitalisation of health services, with the aim of improving accessibility and quality of care for island residents.

Education remains a key priority, supported by a wider national investment cycle valued at €3.2 billion.

On the islands, 20 kindergarten projects are currently underway, including construction, expansion, and equipment upgrades, which are expected to provide 872 new places for children.

In addition, nine projects are being implemented for the construction and renovation of primary schools and sports halls. Schools on Brač and Korčula are also participating in a pilot full-day schooling programme.

The government has also supported local authorities through fiscal sustainability measures for early childhood education, helping ensure long-term funding stability for kindergartens.

Korčula

Housing affordability was highlighted as a key national issue, with the government’s National Housing Policy Plan also being implemented in island communities.

Water infrastructure continues to improve, with 92% of island residents now connected to public water supply systems. Since 2016, €324 million has been invested in water management projects.

Future developments include improved water connections between Omiš and Brač, Brač and Šolta, as well as system upgrades on the Zadar islands and Mljet.

Energy infrastructure is also being strengthened, with €86 million invested in transmission and distribution networks in recent years. Additional projects include renewable energy expansion, solar installations, smart city initiatives, and energy-efficient renovation of housing.

At the end of the session, 23 new producers were awarded the “Croatian Island Product” label, which recognises quality, tradition, and authenticity of island-based goods.

The meeting also addressed broader development priorities, including maritime connectivity, fisheries and aquaculture funding, and further strengthening of electricity networks across island regions.

Prime Minister Andrej Plenković emphasised continued political commitment to addressing island-specific needs, noting that residents are best placed to identify areas for further improvement.