The European Bank for Reconstruction and Development (EBRD) will lend Croatia 350 million Euros this year for water, energy and railway projects.

The EBRD’s director for Croatia Zsuzsanna Hargitai says that the country’s future is bright.

"Croatia has a good political framework for investment and a good incentive programme," Hargitai said.

"What’s missing is the implementation on the ground where investors may be facing problems with permits, land issues and lack of transparency on various levels of the government."