SDP calls for new economic model as inflation remains among Croatia's highest in the EU

SDP President Siniša Hajdaš Dončić said on Saturday that Croatia needs a new political and economic model focused on domestic food production, energy independence and protecting citizens' living standards, as his party concludes a two-month nationwide campaign highlighting the government's role in inflation.

Speaking in Virovitica, Hajdaš Dončić criticized the government's approach to agriculture, market competition and rising prices, arguing that subsidies and incentives should be directed toward clearly defined strategic goals.

"The prime minister has no clear position on domestic agriculture or Croatia's energy self-sufficiency. He allows foreign retail chains to have profit margins of eight percent, while the EU average is below six percent. Until consumer protection authorities properly examine profit margins and pricing, Croatia will remain among the countries with the highest inflation," he said.

Hajdaš Dončić also dismissed speculation that President Zoran Milanović, a former SDP leader, could run in the next parliamentary election, saying the president had made it clear he had no such intention.

SDP vice president Mišel Jakšić said government policies had weakened domestic agriculture and contributed to emigration, while Možemo! MP Sandra Benčić rejected Prime Minister Andrej Plenković's argument that inflation is primarily the result of international crises.

Virovitica Mayor Ivica Kirin of the ruling HDZ rejected the opposition's criticism, arguing that it had failed to offer concrete solutions.

"If you're making accusations about inflation, you also need to explain how you would reduce it. You can't simply blame the government, the HDZ and Andrej Plenković without offering alternatives. As mayor, I credit Prime Minister Plenković's third term with delivering the highway and securing investments worth 100 million euros," Kirin said.

Croatia has consistently recorded one of the highest inflation rates in the European Union in recent years. Annual inflation averaged 2.6 percent in 2021, 10.8 percent in 2022, 8 percent in 2023, 3 percent in 2024 and 3.5 percent in 2025.