July 24, 2023 – Almost two years have passed since the Biram Hrvatsku active employment policy measure started. Its purpose is to encourage Croats to return from abroad and live in Croatia but also to move within Croatia to its less developed regions.
In fact, it is an extension of the measure for self-employment, which enables subsidies for Croatian returnees in the maximum amount of 27,000 euros, writes Index.
All of 165 Returnees
In addition to the European Economic Area, starting this year, the government also provided subsidies for starting a business to returnees from Switzerland, Great Britain, Northern Ireland, Argentina, Brazil, Australia, the USA, Chile, Canada and New Zealand.
The Biram Hrvatsku measure was introduced in 2021, and at that time, the government said that they expected 4,500 people to return to the country as a result. As the Ministry of Labor and the Croatian Employment Service (HZZ) told Index, from January 2022 to the end of June this year, 165 people returned to Croatia, and 39 moved from a developed to an underdeveloped region.
7000 Euros for Returnees
The duration of the measure for returnees from abroad is 24 months. They can claim 7,000 euros if they are returning Croatian citizens under the age of 60, regardless of the level of education, who have worked for at least 12 months in the last 24 months or were involved in regular education. Upon their return, they must be registered in the unemployment register and become self-employed through the measure of support for self-employment in 2023.
People who moved from abroad, as well as those who would move within Croatia, can receive an additional 20,000 euros if they meet the criteria of a green or digital workplace, and by the definition of green and digital workplaces defined in the Glossary.
The amount of support is determined according to the future registered activity of the business entity in accordance with the National Classification of Activities (NKD).
Subsidies of 3,500 euros for moving to undeveloped areas
Existing beneficiaries of self-employment support who decide on internal mobility, i.e. moving and doing business in less developed areas, can receive a 3,500 euro relocation subsidy.
They belong to the second target group, which refers to users registered in the area of development indices I, II, III, and IV and who changed their place of residence by moving from the area of development indices VII and VIII to the area of development indices I, II, III and IV, by the Decision on the classification of local and regional (regional) self-government units according to the level of development (Official Gazette, No. 132/17).
For internal mobility, it is possible to obtain a maximum amount of 23,500 euros if the user meets the criteria of a green or digital workplace and receives an additional 20,000 euros.
CES: 204 requests approved This Year
The Croatian employment service (CES) stated that 204 requests were approved on June 5 this year – 165 for return from abroad and 39 for internal mobility. They say that from January 1 to June 5 this year, 74 requests were approved, eight are being processed, and 25 were rejected.
“The deadline for evaluating requests for self-employment is 30 days from the date of receipt of the request with complete prescribed documentation, while the deadline for evaluating requests for the Choose Croatia measure is 15 days from the date of receipt of the request with complete prescribed documentation,” said the CES.
Most returnees are from Germany, Austria, Ireland, Switzerland and Slovenia
“Beneficiaries of the Biram Hrvatsku measure mostly come back from Germany (120 returnees) and from Austria, Ireland, Switzerland and Slovenia.
According to the age structure, we can say that the beneficiaries of measures for returning from abroad are primarily between the ages of 30-50 – 113 (68.5 percent), followed by the 18-30 age group – 39 (or 23.6 percent). Beneficiaries of the measure for internal migration by age are also mostly in the age group of 30-50 years – 27 (or 68.4 percent) and 18-30 years – 7 (or 18.4 percent).
According to the educational structure, 144 users (70.6 percent) have completed high school education, 42 users (20.6 percent) have completed higher education, and 18 users have completed primary school (8.8 percent),” the CES reported.
Internal Migrations
In most cases, people moved out of the City of Zagreb (14), Istria (6), Karlovac (4) and Zagreb County (5). This is followed by Osijek-Baranja County (3), Primorsko-Goranska County (3), Split-Dalmatia County (3) and Koprivnica-Križevačka County (1).
The most common counties to which the beneficiaries of the measure moved were: Sisak-Moslavina (7), Karlovac (7), Osijek-Baranjska (5), Vukovar-Srijemska (4), Split-Dalmatia (3), Zagrebačka (2), Krapina-Zagorska (2), Brod-Posavska (2), Zadar (1), Virovitica-Podravska (1), Šibenik-Knin (1), Primorsko-Goranska (1), Požega-Slavonska (1), Ličko- Senjska (1) and Koprivničko-Križevačka (1).
Most Successful Industries
The most common activities for which the Biram Hrvatsku measure for return from abroad has been approved are the manufacturing industry, information and communications, wholesale and retail trade, repair of motor vehicles and motorcycles, professional, scientific and technical activities, as well as the activities of providing accommodation and preparing and serving food, say the CES.
The most common activities for which a measure for internal mobility is approved are construction, processing industry, administrative and auxiliary service activities, professional, scientific and technical activities, as well as the activities of providing accommodation and preparing and serving food, they stated.
More Than 43 Million Euros This Year
“The deadlines for the implementation of active employment policy measures are prescribed by the Conditions and methods of using funds for the implementation of measures in 2023, adopted by the Administrative Council of the Institute.
Requests for active employment policy measures are received from January 1, 2023 to November 30, 2023, with the exception of the self-employment measure, where requests are received no later than September 30, 2023, that is, until the financial resources are used.
Tailor-made requests for Permanent season and Workforce mobility – I choose Croatia must be received until December 31, 2023,” say the CES.
Index asked the CES how much money was provided for the measure in 2023. They say that the Labor Mobility – Biram Hrvatsku grant is part of the intervention of support for self-employment, green/digital self-employment support and Biram Hrvatsku labour force mobility.
“Over 43 million euros (HRK 330 million) is planned for the measure this year,” answers the CES to Index.
Ministry of Labour: The real effects of this measure will be seen in the coming period
The Ministry of Labour says that the main goal of the Biram Hrvatsku measure is to give people who have acquired knowledge and skills abroad an additional incentive to return to Croatia and the development of economically less developed areas. The Ministry states that the measure will be implemented next year as well.
“This measure is used by returnees who open businesses and who we believe will employ additional people in the future, therefore the measure has a multiplying effect,” said the Ministry. We asked the Ministry if the government is satisfied with the turnout and if it considers Biram Hrvatsku a successful measure.
“Biram Hrvatsku is one of the measures of the demographic revitalization of Croatia. It is necessary to keep in mind that the decision to move from another country, even from another continent, in addition to starting a business, is not something that is taken lightly and overnight. Therefore, the real effects of this measure will be seen in the coming period,” the Ministry of Labour replied to Index.
