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After the fall of the Western Roman Empire in the 5th century, the Roman roads and the Illyrian population speaking Romance languages (such as Istro-Romanian or Dalmatian) remained. With the increasing amount of human migration, this population entrenched in the cities along the whole Dalmatian coast.

Due to the elections, the HDZ government promises two salary increases to public-sector employees before the end of the year which increases the fiscal deficit.

By early 2005, the foreign debt of the Government declined in growth, and was surpassed in size by the foreign debt of the banking sector, prompting further interventions by the national bank.

Croatia was one of the crown lands that supported Emperor Karl's Pragmatic Sanction of 1713 and supported Empress Maria Theresia in the War of Austrian Succession of 1741-1748. Subsequently, the empress made significant contributions to Croatian matters, by making several changes in the administrative control of the Military Frontier, the feudal and tax system. She also gave the independent port of Rijeka to Croatia in 1776.

The recession that began at the end of 1998 continued through most of 1999, and GDP in 1999 was flat. Inflation remained in check and the kuna was stable. However, consumer demand was weak and industrial production decreased. Structural reform lagged and problems of payment arrears and a lack of banking supervision continued.

The area known as Croatia today has been inhabited throughout the prehistoric period, since the Stone Age. In the middle Paleolithic, Neanderthals lived in Krapina. In the early Neolithic period, the Starcevo, Vinca, Sopot and Hvar cultures were scattered around the region. The Iron Age left traces of the Hallstatt culture (proto-Illyrians) and the La Tène culture (proto-Celts).

The Racan Government carried out a large number of structural reforms and with tourism as the main factor, the country emerged from recession in 2000. Due to overall increase in stability, the economic rating of the country improved and interest rates dropped. As a result of coalition politics and resistance from the unions and the public, many reforms are still overdue, esp. in the legal system.

A president may not serve more than two terms.

The last parliamentary elections were held November 23 2003.

As the Turkish incursion into Europe started, Croatia was once again a border area between two major forces in this part of the world. While Croats under fra Ivan Kapistran contributed to the Christian victory over the Ottomans in the siege of Belgrade of 1456, they suffered a major defeat in the Battle of Krbava Field (in Lika, Croatia) in 1493 and gradually lost increasing amounts of territory to the Ottoman Empire.

The most commonly accepted facts about the origin of the Croats are that they originate from Slavic tribes that lived in and around today's Poland. The early Croat people, as well as the Serb people, is believed to have been mixed Slavs and the Iranian-speaking Alans according to many modern scholars. It is unclear whether the Alans contributed much more than a ruling caste or a class of warriors; the evidence on their contribution is mainly philological and etymological.

The later kings sought to restore their influence by giving certain privileges to the towns, making them Royal Boroughs or Free Royal Towns (similar to the Free Cities in the Holy Roman Empire), which the kings defended from the feudal lords in return for the town's support.

Croatian lands became subject to the Carolingian Empire around 800, and regained independence after the death of Charlemagne in 814. The first written mention of Croats dates from 852, a statute by Duke Trpimir, the founder of the Trpimirovic ruling dynasty. The country was recognized by Pope John VIII as an independent dukedom under Branimir in 879 (dux Chroatorum).

A change of leadership was far from a solution to the war with the Turks, in fact, the Ottoman Empire gradually expanded in the 16th century to include most of Slavonia, western Bosnia and Lika.