(Photo: Reuters) (Photo: Reuters)

"Looking at overall bilateral economic relations between the two countries, which are relatively modest, and the fact that Croatia has been in the European Union since 2013, according to our estimates the United Kingdom's exit from the European Union should not have considerable consequences on the Croatian economy," said the Croatian Chamber of Economy.

Trade with the UK accounts for only 1-2 percent of Croatia's total exports and import; while and British tourists generate about 4.5 percent of the nation's foreign currency revenues from tourism. Brexit could lead to slightly lower demand from the British market but is unlikely to have any serious impact on Croatia's economy.

On the other hand, it could have a larger effect on some types of local businesses, such as pharmaceutics exporters, which account for 15 percent of total Croatian exports to the UK.

At the same time, secondary effects such as delays in investment projects and the possible introduction of visas or other restrictions on EU citizens are possible.

In 2018, the UK was Croatia's 18th strongest trading partner with a share of 1.3 percent, or 514.2 million euro.

According to data supplied by the state statistics bureau, some 820,000 Britons visited Croatia in 2018, an increase of 9.4 percent over the previous year. They accounted for roughly 5 percent of all incoming tourists that year.

The European Parliament ratified the UK's withdrawal agreement on Wednesday - with 621 in favour, 49 against, and 13 abstentions. The United Kingdom will leave the EU at midnight CET on Friday, after 47 years of membership. Negotiations regarding their future relationship are due to start on March 3rd.

Source: HINA