Report on retail price caps in Croatia

Commissioned by: Rosa Luxemburg Stiftung Southeast Europe
Project duration: April 1 -  May 31, 2026
Project manager: Ivica Rubil

Summary: 
The Government of the Republic of Croatia introduced, several years ago, a measure imposing retail price ceilings on selected products and product groups, with the aim of mitigating the effects of consumer price inflation on citizens’ living standards. Following the introduction of the measure, the range of covered products and product groups was expanded on several occasions. This report describes the measure as introduced and the subsequent extensions of its scope, analyzes its effects on citizens’ living standards—with particular emphasis on low-income households—and provides an overview of the theoretical and empirical literature on the effects of retail price controls on household material well-being.