A significant drop in industry confidence in March 2018 has affected the overall economic sentiment in Croatia, with optimism weakened across the European Union as well, according to a European Commission report released on Tuesday.

In March 2018, the Economic Sentiment Indicator (ESI) in Croatia was 114.8, down from 118.8 in February, the highest point since the country joined the EU in 2013.

By sector, industry confidence decreased the most, to 11.4 points, or 6.3 points down from a record high in February. Retail trade confidence decreased by four points to 11.4, consumer confidence decreased by 3.6 points to -12.3, construction confidence decreased by 0.7 points to 6.9, while services confidence decreased by 0.1 points to 19.2.

In the EU, the ESI decreased by 1.9 points to 112.5. Services confidence decreased by 2.2 points, retail and industry confidence both decreased by 1.8 points, while construction confidence increased by 0.5 points. Consumer confidence was unchanged from February.