The conservative Croatian Democratic Union (HDZ) is on track to win the most seats in the national election but the country looks set for lengthy coalition horsetrading after voters once again declined to return a clear governing majority.
With 60 per cent of votes counted, the HDZ had 61 seats, pushing the Social Democrats into second place with 54, but were still short of a majority in the 151-seat parliament even with the support of Most ("Bridge"), the likely kingmaker party.
In a sign of voter disillusionment, turnout plunged, and Zivi Zid ("Human Shield"), a populist left alliance, surged from one to eight seats with promises to be tough on banks and demands for prosecutions of unnamed corrupt officials.
The HDZ seems best placed to form a government, but it could be difficult for any party to build a coalition with a clear mandate for carrying out the painful public administration reforms being urged on the country of 4.3 million.
The European Union wants its youngest member to tame high public debt, cut the budget deficit, restructure public administration and improve the business climate to spur growth in an economy still dominated by state enterprises.
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The HDZ, which led the country through its first turbulent years of independence and war after the break-up of Yugoslavia 25 years ago, will face a fight from the SDP, whose leader Zoran Milanovic still held out hope of forming a government.
The previous HDZ-Most government collapsed acrimoniously after just five months amid rows over public administration reforms and government appointments.
