The Anchor tells the story of a remote island village in Croatia, invaded by Italian fascists during WII, and is inspired by actual events. The Italians, searching for a cache of guns, murder four children, sparing two young women; the physically flawed Blazenka and the beautiful but arrogant Jagoda. The two young women are caught in a vortex of ancient grievances and jealousies held by the adult women of the village, who blame each other for the village's fate.

The Italians play a ruse by leaving a handsome soldier behind to seduce Jagoda nd find where the guns are hidden. Blazenka meets Slava, a young man rendered mute by witnessing Italians murder his family. Despite warnings from village elders, lazenka falls in love for the first time. Blazenka and Jagoda bond over their new love nterests and Blazenka lets it slip that Slavo may know where the guns are hidden. This leads to several climactic confrontations where the characters make life changing choices. Thematically, the film explores how jealousy and regrets without forgiveness can ruin lives.