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Economy / Croatia

Ivica Racan Dies

May 2007 | Risk Summary

Ivica Racan, former prime minister and leader of the opposition SDP party, died on April 29. Although he officially renounced party leadership in January, his death raises the prospect of internal party divisions, and even an outside chance of the SDP's dissolution. The next leader is likely to be one of two men: Zoran Milanovic, or Tonino Picula. Picula is billed as a compromise candidate. Some see Milanovic as too young, and possibly too centrist, but as Racan's groomed successor, he is certain to garner much popular support. However, it will likely take longer than six months for the SDP to regroup, and the incumbent HDZ are now looking likely to win November's general elections.

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