Croatian economy has advantage over Serbia's thanks to EU - Moody's

LONDON - Croatia's (Ba2 stable) larger, more competitive economy and its stronger institutions stemming from EU accession underpin its higher creditworthiness compared to Serbia (Ba3 stable), says a report by the credit rating company Moody's.

"Croatia's economy is approximately a third larger than Serbia's, and EU membership facilitated a comprehensive overhaul of its institutions. On the other hand, the greater reform momentum in Serbia in recent years will support income convergence, and investment is likely to benefit from recent improvements in the country's business environment."

Tanjug file photo, D. Kujundzic