Many readers of the TransferGo Blog are entrepreneurs looking to expand or start their business in another country. Other readers are very happy with where they live, but enjoy travelling and spend a great deal of time planning holidays.
There is one tool that is often overlooked in both business and holiday planning: exchange rates.
It is often the case that many countries are similar in terms of the suitability for business or in the types of attractions and desirable holiday locations. Many of those are members of the EU and use the Euro as their main currency. However there are a number of countries, both in and out of the EU, where the currency exchange rate warrants a further look.
In this TransferGo blog post we will use Croatia as our example.
Currency in Croatia
Although Croatia in a member of the EU they have not yet adopted the Euro.
The country’s currency is known as the kuna and has been in use since 1994. The fractional units are lipa, with 100 to the kuna.
The name “kuna” means “marten” and was chosen as a reminder of medieval times when marten pelts were used as a form of money in the country.
The International Monetary Fund classifies Croatia as an emerging and developing economy; the World Bank has designated the country as having a high-income economy.
The service sector is the dominant driver of the country’s economy, but the country also has thriving agricultural and industrial sectors as well. The government exercises control over a significant portion of the economy and continues to make substantial infrastructure expenditures. The strength of the service sector is due to Croatia’s popularity as a tourist destination.
The country ranks amongst the top 20 most popular tourist destinations in the world. This is primarily due to the popularity of the Adriatic coast, which includes over 100 Blue Flag beaches and a growing naturism and nautical tourist industry. Croatia also features medieval castles, numerous cultural events and spa retreats.
Do They Accept Euros in Croatia?
The Euro has no official standing in Croatia, meaning that merchants and individuals are under no obligation to accept it.
However, you may find that some small restaurants, private accommodations and even taxis will accept euros. This is a left over trait of the country’s past history when “hard currency” (such as Deutschmarks and US dollars) was preferred due to its stability.
Many shops often have prices displayed in euros even if they do not accept Euros. This is usually to help travellers from the EU and non-EU countries to get an understanding of price without knowing the exchange rate.
One euro is currently worth about 7.5 kuna; you will often get a better price when you pay in kuna.
Here are some typical Croatian prices, in euros.
- Casual restaurant meal – 6.02
- Three course Mid-range restaurant meal for two people -26.76
- Fast food combo meal – 4.68
- Domestic Beer -1.94
- Imported Beer – 2.01
- Cappuccino -1.31
- Soft drink – 1.73
- Bottled Water – 1.18
When planning a holiday or a business move when the specifics as to location are open, it is well worth looking at the value of other currencies during the early stages. You may well be pleasantly surprised.
The TransferGo Blog prides itself on articles which provide information to readers about travel, culture in other countries, Brexit and the British currency market.