Judging by citizens' spending in the first half of this month, weeks of record-high spending are ahead in Croatia, Vecernji List daily said on Tuesday.

In the past two weeks, fiscal cash registers recorded a turnover of almost 7.4 billion kuna (€1 billion). Since the bulk of consumer consumption is concentrated in the second half of December, one can expect an additional 12 billion kuna in turnover.

Last year, extra holiday consumption was about 1 billion kuna, with fiscal receipts totalling 15.8 billion kuna.

According to the Tax Administration, Croatians last week spent 20 percent more on average than at the same time last year, when the number of COVID-19 cases was comparable to this year but more restrictions were in place.

At this time last year hospitality establishments were closed, which is why their turnover now, when they are open, is four times higher. Retailers are recording a 10 percent increase.

Besides domestic consumers, tourists and Croatian citizens who work abroad, where COVID protocols are much stricter, could also contribute to consumption towards the end of the year. All of that, however, increases the risk of the epidemic spreading in January and the following months.

Christmas bonuses are also expected to contribute to increased spending. It is estimated that workers will get a total of 1.5 billion kuna in Christmas bonuses and receive as much in the form of various other bonuses.

Most local governments will ensure Christmas bonuses of several hundred kuna for pensioners. All of this raises the amount of disposable income for Christmas and New Year’s spending to HRK 3 billion in relation to regular income, Vecernji List said.