Abstract
Between 2000 and 2007 there was a period of extensive expansion in lending to households in Croatia. Due to the deep economic crisis, many households now face problems with the repayment of their significant, barely repayable debt. Among them, the most prominent are those with loans denominated in Swiss francs.1 The rise in Swiss franc value against the Croatian kuna (HRK),2 combined with high interest rates, increased the monthly loan payments for these loans by an average of EUR 220 (euros; an average salary in Croatia being EUR 730). In 2011, when the Swiss franc was at its highest value (before the intervention of the Swiss National Bank in September 2011), there were around 100,000 Swiss franc-denominated loans. Most of them — around 75,000 — were long-term housing loans.3
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Rodik, P. (2015). The Impact of the Swiss Franc Loans Crisis on Croatian Households. In: Değirmencioğlu, S.M., Walker, C. (eds) Social and Psychological Dimensions of Personal Debt and the Debt Industry. Palgrave Macmillan, London. https://doi.org/10.1057/9781137407795_4
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DOI: https://doi.org/10.1057/9781137407795_4
Publisher Name: Palgrave Macmillan, London
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