The economic growth and development of any country largely depends on the quality of human capital. Today, as the knowledge economy becomes increasingly important, states, organizations and businesses should, if they intend to keep pace with technological change and remain competitive in the market, start investing in human resource development. In order to be able to talk about the quality of a country’s human capital, we need to start from the ground up and that is education. If a country does not have a good foundation of education from the very beginning, the index of its human capital, as well as the capital of an organization that does not invest in the knowledge and training of employees, cannot be large. A country that does not know how to recognize the importance of human capital cannot 4 prosper in the long run. This paper provides an overview of the position of the Republic of Croatia in relation to EU countries based on its investment in human capital.