Best bank: Zagrebacka Banka
Zagrebacka Banka achieved targeted digital and product innovation across retail, corporate and SME banking in 2025, supported by sustained improvements in profitability and customer delivery.
Net income at the bank increased 13% year on year to €510 million, while group profit reached €572 million. Loans to customers rose 16% to €15.9 billion and total assets expanded by 9%, with gains across both retail and corporate segments. Fee and commission income rose 10%, reflecting higher transactional activity and growing use of investment and payments products.
Investment was focused on digital distribution and onboarding, with the redesigned m-zaba app significantly boosting engagement, reaching nearly 700,000 active users and driving mobile penetration to 68% across all client segments. The rollout of instant payments across channels and the introduction of a one‑time virtual card with user-defined limits added functionality and security to digital transactions. AI tools were embedded in customer service, supporting more than 800,000 calls and improving response speed and accuracy in daily interactions.
Product development targeted specific client segments and journeys. The launch of ‘m-student’ integrated identification, payments and subsidies within mobile banking, while a one-stop mortgage centre consolidated advisory, financing and legal processes into a single location. In SMEs, digital onboarding through the national START platform and the scaling of pre-approved lending – accounting for 55% of volumes – reduced approval times and expanded access to financing.
Corporate and capital markets activity included participation in Croatia’s largest private financing and advisory roles in major transactions, alongside expanded use of digital document exchange and instant payments infrastructure.
Best bank for ESG: PBZ
PBZ combined strong growth in ESG financing with an expanded product suite in Croatia during 2025.
Sustainable financing reached €908 million, split between €445 million in retail and €462 million in corporate and SME segments, representing 25% and 34% of new financing respectively. Growth reflected rising demand for green and social financing, particularly in energy efficiency, renewable energy, circular economy projects and social infrastructure such as childcare and elderly care facilities. The share of sustainable medium and long-term assets increased by 24%, underscoring continued expansion of ESG-aligned lending.
Product development broadened the bank’s ESG offering across client segments. Sustainability-linked lending expanded through general purpose and dedicated S-loans tied to environmental, social or governance KPIs, alongside D-loans supporting digital transition investments.
In SMEs, a Women in Business programme combined EIB and InvestEU-backed financing with advisory and training, reaching 40 entrepreneurs through education and networking initiatives. Retail activity remained largely environmentally focused, accounting for over 99% of sustainable production.
Integration into risk and governance frameworks deepened during 2025. The bank conducted 80 related assessments, extending screening to a wider set of high-risk counterparties and embedding ESG clearing into credit decision making. The framework aligns with Loan Market Association standards and is supported by internal policies covering sector exclusions, taxonomy alignment and reputational risk. Operational measures complemented this activity, including a reduction of over 6% in own emissions and renewable energy usage nearing 90% of total consumption.
Best bank for corporate responsibility: OTP Bank
OTP Bank’s corporate responsibility programme stood out in Croatia in 2025 through its strong oversight, measurable social impact and high levels of engagement across clients and employees.
During the review period, the bank allocated €914,700 to corporate responsibility, supporting 199 organisations and projects across Croatia, with activity spanning healthcare, education, humanitarian support and community development. This activity was supported by close coordination between its corporate communications function and sustainable development directorate, ensuring alignment with group ESG priorities and consistent implementation and reporting across the organisation.
A key area of progress in 2025 was the further growth of the OTP Round It Up! initiative, created with Mastercard, which allows clients to round up card transactions to fund paediatric healthcare. Participation exceeded 22,000 clients, with cumulative donations surpassing €1.2 million, embedding social contribution into everyday banking activity and scaling funding flows beyond direct corporate donations. Alongside this, the bank’s public donations programme in 2025 adopted a competitive allocation model, selecting 36 projects from hundreds of applications, covering sectors including education, science and environmental protection.
Targeted interventions continued in priority areas of social need, through scholarships awarded to 20 students without parental care, as well as through partnerships with organisations such as the Croatian Red Cross and SOS Children’s Villages. Employee engagement expanded, with 220 staff contributing more than 1,000 volunteering hours and blood donation drives.
Best investment bank: Zagrebacka Banka
Zagrebacka Banka delivered a broad expansion in capital markets activity, product capabilities and client reach in 2025, supported by strong execution across equity, debt and advisory mandates.
During the year, the bank led the €130 million initial public offering of Žito, the largest private-sector IPO in Croatia, which combined institutional demand with more than €50 million in retail participation from over 4,400 investors. Distribution was supported through an extensive branch network and a structured programme for employee participation, widening access to equity markets and reactivating domestic investor interest.
Debt capital markets activity covered sovereign, supranational and corporate issuance, including a €350 million debut Eurobond for the Federation of Bosnia and Herzegovina that drew peak demand of over €1.8 billion. Domestic government issuance remained a central component, with the bank involved in placements totalling €4 billion, alongside corporate bonds such as Bosqar’s €105 million sustainability-linked issuance and Atlantic Grupa’s €80 million transaction.
Advisory activity included several high-value transactions, most notably the €333 million sale of Fortenova’s agricultural segment, alongside multiple cross-border deals involving strategic and financial investors across Central and Eastern Europe.
Financing activity complemented capital markets execution, with mandates including a €550 million refinancing – the largest private corporate financing arranged by a single banking group in Croatia – alongside lending for energy, infrastructure and tourism projects.
Platform development supported these activities, including digitalised brokerage onboarding, continued market making in domestic equities and the rollout of robo-advisory services. Assets under management increased by 69% year on year to €1.5 billion, reflecting stronger client uptake and broader distribution.
Best retail bank: PBZ
Improved digital functionality, strong retail balance growth and measurable improvements in asset quality underpinned PBZ’s performance in Croatia’s retail banking market in 2025.
The bank’s upgraded digital platform consolidated a series of new features into a single mobile-led ecosystem, including cardless withdrawals, peer-to-peer payments using mobile numbers and remote document signing, alongside a post-purchase instalment capability that extended credit flexibility beyond the point of sale. Adoption accelerated at scale, with 96% of transactions executed electronically and over 800,000 customers using digital banking services. The rollout of instant payments operating continuously and in under 10 seconds further expanded day-to-day usability.
Loans to customers increased 11% year on year, while customer deposits rose 7%, with the retail segment continuing to account for the largest share of funding. This expansion contributed to overall asset growth of 8% and was accompanied by a 14% rise in fee and commission income, reflecting higher transaction volumes and product utilisation.
New products and services extended the retail proposition beyond core banking. A broadened investment advisory service made portfolio construction and diversification accessible across the client base, integrating funds and other instruments into personalised strategies. A programme targeting women entrepreneurs combined lending, education and digital tools, reaching more than €10 million in approved loans within months of launch and linking retail banking more closely with small business activity.
Best bank for corporates: Zagrebacka Banka
In 2025, corporate banking performance at Zagrebacka Banka reflected strong transaction activity and continued upgrades to digital platforms and product delivery.
Net loans to corporate clients saw strong double-digit year-on-year growth, reflecting a shift towards non-financial corporates and sustained lending activity. Corporate deposits continued to grow year-on-year, reflecting stable client inflows, while operating income from large corporate clients remained strong, with a significant contribution to overall performance.
This growth was supported by involvement in largescale and complex transactions across sectors, including participation in a €550 million refinancing for Fortenova Group. In parallel, the bank executed a series of club and syndicated financings across energy, infrastructure and tourism, alongside advisory roles in acquisitions and disposals in agribusiness and consumer sectors.
Product development focused on widening financing options and improving access to funding. Cooperation with institutions such as the EBRD and EIF was expanded through risk-sharing frameworks and InvestEU guarantees, including the introduction of minibonds into eligible structures, enabling longer tenors and reduced collateral requirements for corporate clients.
Digital investment centred on improving corporate treasury operations and connectivity. API-based payment integrations enabled direct links with client systems, supporting automated reconciliation and real-time processing, while instant payments were extended to bulk transactions handling thousands of payments within seconds. The launch of the redesigned e-zabaPS platform consolidated 90% of key functionalities into a new interface, alongside upgrades such as verification of payee and enhanced e-invoicing workflows, embedding digital channels more deeply into day-to-day corporate banking activity.
