The aim of the paper is to build an empirical model, complementary to existing research, to study the determinants of the impact of foreign direct investment on manufacturing and service sectors, with special reference to the tourism sector in the Republic of Croatia in the period of 2000-2021. A definition of the concept and importance of FDI, as well as the significance of the structure of FDI for economic growth, is followed by an overview of previous research, on the basis of which the variables used in the model were selected. The dependent variable used in the model is FDI in selected sectors, i.e., manufacturing, tourism, finance and services. The independent variables used in the model are: GDP growth (annual %), REER (real exchange rate), rule of law and gross domestic savings as % of GDP. After the linear regression analysis, the hypotheses were confirmed, namely that the determinants of FDI inflows in the Republic of Croatia vary in intensity and statistical significance with respect to individual sectors, and that the institutional determinants of FDI inflows are more significant in the manufacturing sector than in the tourism sector. The analysis has shown that real appreciation affects FDI in the manufacturing sector more than in other sectors, and that FDI inflows in the manufacturing sector require a higher degree of institutional development.