The implementation of projects from European Union funds in the Republic of Croatia created numerous business opportunities for companies and citizens, and significant funds were invested in scientific research, development and innovation, which can be considered the basis of strengthening competitiveness and economic development. Projects of European funds contribute to a more efficient and high-quality education and transport system, to the preservation of natural and cultural heritage, strengthens competitiveness and enables the creation of new jobs. The aim of the paper is to analyze the use of European funds in the Republic of Croatia. The aim of the work is to analyze the main characteristics of investment funds and to present the institutional framework of the bodies of the management and control system for the use of European funds for the period from 2014 to 2020. The paper analyzed the previous use of funds, the role of European funds in the development of the Republic of Croatia, presented the National Report of the program period from 2014 to 2020, and gave an overview of the new possibilities of the current financial perspective from 2021 to 2027 through the use of financial instruments and communication actions. On the example of the successful use of European Union funds, the revitalization projects of Šibenik's fortresses, which for centuries were neglected city attractions with completely unused potential, were presented. Thanks to the European Fund for Regional Development, all four Šibenik fortifications have been restored and today represent a unique mix of the tourist offer of the city of Šibenik.