The country has come a long way since the early 1990s, when within the space of half a decade – almost uniquely in contemporary Europe – it experienced the collapse of communism, a war of national survival and the securing of independence. Croatia is now once again an optimistic, welcoming and safe destination, and visitors will be struck by the tangible sense of pride that independent statehood has brought. National culture is a far from one-dimensional affair, however, and much of the country's individuality is due to its geographical position straddling the point at which the sober central European virtues of hard work and order collide with the spontaneity, vivacity and taste for the good things in life that characterizes the countries of southern Europe – a cultural blend of Mitteleuropa and Mediterranean that gives Croatia its particular flavour. Not only that, but the country also stands on one of the great faultlines of European civilization, the point at which the Catholicism of Central Europe meets the Islam and Orthodox Christianity of the East. Though Croats traditionally see themselves as a Western people, distinct from the other South Slavs who made up the former state of Yugoslavia, many of the hallmarks of Balkan culture – patriarchal families, hospitality towards strangers and a fondness for grilled food – are as common in Croatia as in any other part of southeastern Europe, suggesting that the country's relationship with its neighbours is more complex than many Croats will admit.

National sensitivity about such matters has its roots in Croatia's troubled relationship with the Serbs, who arrived in southeastern Europe at around the same time, some fifteen hundred years ago, and whose language is almost identical to Croatian. Historical circumstances later drove the two groups psychologically and culturally apart, even though they often continued to live together – the fact that so many areas of Croatia and Bosnia-Hercegovina were ethnically mixed is one reason why the break-up of Yugoslavia was such a tragically messy affair. Despite the events of recent years, however, the destinies of Croats and Serbs look set to remain intertwined: there's still a sizeable Serb minority within Croatia, and Serbs who fled the country in the wake of the Croatian army's campaigns in 1995 are (officially, at least) being encouraged to return.

Bringing life back to war-damaged areas and resettling both Croatian and Serbian refugees is just one of the problems faced by a country that continues to suffer many of the ills experienced by post-communist societies in general: the collapse of outdated industries, high unemployment, low wages for the majority, and the rise of a new entrepreneurial class which is often flamboyantly corrupt. Tourism was always Croatia's biggest source of income before the war, and the return of holiday-makers to the Adriatic coast has been eagerly welcomed by the Croats. Unlike many of her Eastern European neighbours, however, Croatia was initially slow to receive aid and investment from the West, until elections in January 2000 removed a nationalist, anti-Western government from office. Since then, Croatia has regained its place in the wider European family, and looks likely to join the EU before the decade is out.