Development of islands

Aid for Island-Based Employers

Island-based employers can receive aid in the maximum amount of EUR 200,000 (HRK1.506.900 )over any period of three fiscal years, including all low-value aid

Low-value aid to island-based employers helps employers reduce operating costs and thus creates the conditions for preserving existing jobs. 

The aid is granted on the basis of Article 26 of the Islands Act and the Regulation on the Conditions, Criteria, Amount and Manner of Exercising the Right to Low-Value State Aid to Island-Based Employers Aimed at Job Preservation.
 

Beneficiaries of State Aid

Beneficiaries can receive aid on the basis of:
  • having their registered office on an island
  • conducting business activities on an island
  • employing workers residing on an island
  • the employees they employ having been working for the same beneficiary for at least 12 consecutive months from the moment of submission of the application
  • the share of ownership of the Republic of Croatia, regional or local self-government units in the ownership structure of the beneficiary not exceeding 50 percent
  • not being financial institutions – banks, insurance companies, savings and credit associations, etc.

Aid Amount

Island-based employers may receive the maximum amount of support up to EUR 200,000 gross, calculated in Croatian kuna in accordance with the mid-rate of the Croatian National Bank on the payment date, during any period of three fiscal years, including all low-value aid.
 
On less developed islands (first-category islands) island-based employers are entitled to aid in the full amount of one average paid monthly gross salary, excluding salary contributions, in relation to all activities, and on more developed islands (second-category island) half of such salary for activities listed in the call.
 

Public Call

Aid is awarded on the basis of a public call published once a year by the Ministry of Regional Development and EU Funds. The criteria and the list of required documents and forms can be found on the website of the Ministry during the period when the public call is open

Stimulating Island-Based Economy.