Luka Jagor | Blogger :: Digital Artist | 𝘳𝘶𝘯𝘯𝘦𝘳 · #𝘥𝘫 · 𝘩𝘰𝘣𝘣𝘺𝘪𝘴𝘵

ᴵⁿ ᵗᶦᵐᵉˢ ᵒᶠ ᶜˡᶦᵐᵃᵗᵉ ᵉᵐᵉʳᵍᵉⁿᶜʸ https://climateclock.world/ 🔹 In the late 1990s, Croatia faced more than just a financial collapse — it faced a crisis of trust. When banks fell and savings disappeared, the government needed a new path forward. What came next was not a revolution in finance, but a revolution in concrete: the building of the A1 motorway and the Adriatic–Ionian highway projects. The Croatian banking crisis of 1998–1999 marked a turning point not only for the country’s fragile financial system but also for its economic direction. When banks collapsed under the weight of bad loans, political ties, and poor oversight, confidence in financial institutions evaporated. The state stepped in, but instead of reforming financial engineering toward transparency and innovation, it turned the nation’s focus elsewhere — onto concrete and asphalt. The love between an economist and an engineer often ends in financial engineering: numbers meet structures, models marry mech...

ᴵⁿ ᵗᶦᵐᵉˢ ᵒᶠ ᶜˡᶦᵐᵃᵗᵉ ᵉᵐᵉʳᵍᵉⁿᶜʸ https://climateclock.world/ The Croatian banking crisis of 1998-1999 carries a set of important lessons that are quite specific to Croatia and the broader post-Yugoslav, post-transition region. Here are the key messages: 1. Rapid Expansion Without Oversight is Dangerous When Mesić ran for president, he promised to recover funds lost in the 1990s banking scandals and privatization corruption schemes (roughly 1–1.5 billion USD at the time). In the 1990s, many Croatian banks grew aggressively after the war, with limited regulatory oversight. Credit was extended too easily, sometimes politically motivated, and risk management practices were poor. This reflects a broader regional problem: post-socialist states liberalized their financial sectors before institutions were strong enough to supervise them. 2. Privatization Created Weak Foundations Banks were privatized or newly established quickly, often with politically connected owners. Many lacked lo...