Croatia has signed defense contracts worth over €200 million with domestic companies in the past year as part of a broader modernization of its armed forces, Defense Minister Ivan Anušić announced in Zadar on Friday.

Speaking at the EU 4 Defence Readiness conference, Anušić said the contracts cover equipment and upgrades to the country’s defense systems, with Croatian firms increasingly supplying high-tech solutions and competing internationally. The ministry, alongside the Croatian Chamber of Economy, has identified 208 domestic companies with defense production capabilities.

Anušić emphasized the need to adapt to modern warfare, citing lessons from Ukraine, and noted that Croatia aims to develop its own defense industry rather than remain solely a buyer of military equipment. The modernization program begins with the Croatian Air Force before extending to other branches.

The minister also addressed regional security, stating that Serbia’s military buildup over the past decade has complicated the security environment in southeastern Europe. Croatia is monitoring these developments while working to maintain a balance of capabilities in the region.