Croatia

Historically part of the Austro-Hungarian Empire, the Croat people joined the Serbs in creating the eastern European nation of Yugoslavia in the post–World War I period. At the end of World War II, Yugoslavia became a Communist state, but ethnic and religious differences continued to haunt the federation. After the dissolution of Yugoslavia, the Croats battled for complete independence from the Serbs. Although Croatia declared independence in 1991, the country did not achieve complete sovereignty until 1998 when the United Nations (U.N.) stepped in to mediate the conflict. Geographically, Croatia is a land of alternating plains and low mountains. The mainland section of the Adriatic coastland stretches for 1,102 miles (1,777 kilometers). Another 2,516 miles (4,058 kilometers) of the coast surrounds the Croatian islands. With its Mediterranean climate, the coastal area experiences mild winters and dry summers. The continental climate in the rest of Croatia results in hot summers and cold winters. Destructive earthquakes are a threat.

Within the Federation of Yugoslavia, Croatia was outranked only by Slovenia as a major industrial power. The breakup of the federation and the ensuing civil strife put Croatia in the position of having to struggle to regain its economic health. After centuries of exploitation, the wealth of natural resources—including oil, small amounts of coal, bauxite, low-grade iron ore, calcium, gypsum, natural asphalt, silica, mica, clays, salt, and hydropower—is helping Croatia to reach economic stabilization in the twenty-first century. Tourism, banking, and public investments have provided additional assets in economic progress. Even with a per capita income of $11,600, 11 percent of the 4,500,000 population of Croatia live below the poverty line. Unemployment remains high at approximately 19 percent. On general quality-of-life issues, the U.N. Development Program (UNDP) Development Reports rank Croatia 45th among the nations of the world.

Environmentally, Croatia suffers from air pollution caused by numerous metallurgical plants, and coastal areas are heavily polluted by industrial and domestic waste. Croatia's infrastructure is still recovering from the long years of war, and significant resources are directed toward the removal of land mines that serve as a constant reminder of the recent strife.

Croatia's forests are at risk from acid rain, and nine of the 76 mammals endemic to Croatia are threatened with extinction, as are four of the 224 bird species endemic to the area. Before the 1970s, Croatia's forests were being steadily depleted. Subsequently, Croatia passed the Forest Act and incorporated components of the Helsinki Convention of Forests into Croatian law. All wood cutting in the forests requires a special permit, and loggers must [Page 381]leave at least two old or dried trees per 2.47 acres (one hectare) to promote biological diversity.

As in most industrialized nations, the percent of the Croatian workforce involved in agriculture is low at 2.7 percent. Most of the farming in Croatia takes place in the east and was traditionally under the control of large, socially owned agribusinesses. Environmentally unsound agricultural management led to the excessive use of chemicals and severe land degradation. However, considerable ecological progress is now underway in Croatia. With 7.5 percent of its land protected, Croatia is above the average for Europe and Central Asia. Approximately 95 percent of the forests now demonstrate a natural composition, and the extensive grasslands are relatively free of fertilizers and chemicals.

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