In the period from 2013 to 2016, the external debt of the Republic of Croatia declined, and the largest share in foreign debt was the debt of other sectors with very similar high values of the general government sector. Foreign debt has been analyzed based on the 6 most frequently used indices of indebtedness (ratios). Based on the calculated indicators, and according to the World Bank methodology, it can be concluded that the Republic of Croatia is somewhere between the highly and moderately indebted country, with a tendency of approaching a moderately indebted country. The involvement of the country in Ponzi’s game has been proved by comparing the average public debt growth rate over the observed period, which is 1.84%, with the gross domestic product growth rate over the same period, whose value is 1.02%. Obviously, the debt is growing at a higher rate than GDP growth. This thesis also contributes to the study of the state budget rate of foreign debt repayment in relation to foreign borrowing and for all the observed years, borrowing is greater than debt repayment. Based on the public debt conducted sensitivity test share in GDP by examining different scenarios, the results show that this share is always between 70% and 80%, indicating that the fiscal risks for the Republic of Croatia are significant in the conditions of economic shocks. It is estimated that the Republic of Croatia is now liquid, but that the increase in economic activity is necessary in order for the debts to return from the regular revenue of the state rather than the new debt. Current projections for future macroeconomic developments in the country are in favor of the sustainability of Croatia's external debt.