An urbanized area in Croatia can gain the status of grad (which can be translated as town or city as there is no distinction between the two terms in Croatian) if it meets one of the following requirements:
A city (town) represents an urban, historical, natural, economic and social whole. The suburbs comprising an economic and social whole with the city, connected with it by daily migration movements and daily needs of the population of local significance, may also be included into the composition of a city as unit of local self-government.[1]
Grad (city/town) is the local administrative equivalent of općina (translated as "municipality"), with the only distinction being that the former usually comprise urban areas whereas the latter commonly consist of a group of villages. Both municipalities and city/towns often comprise more than one settlement, as the administrative territory of a grad may include suburban villages or hamlets near the city/town in question. Settlements (naselja) are the third-level spatial units of Croatia,[2][3] and the smallest unit for which the decennial census data are published by the Croatian Bureau of Statistics but are not administrative entities, i.e. they are governed by the municipal or city/town council of the local administrative unit they belong to.
Croatian cities are administratively subdivided into "city districts" (gradski kotari/gradske četvrti) and/or "local committees" (mjesni odbori) with elected councils. The City of Zagreb, as the capital, not being part of any county, is subdivided into both city districts and local committees.[4]
According to the Constitution, the city of Zagreb, as the capital of Croatia, has a special status. As such, Zagreb performs self-governing public affairs of both city and county.[8]