Private tourist accommodation providers expect further growth, better state treatment

Recategorisation, more favourable Croatian Bank for Reconstruction and Development loans, better treatment by state institutions and turnover growth are the key expectations for this year by providers of tourist accommodation in households, Danijela Cavlovic of the Croatian Chamber of Commerce has told Hina.

Speaking ahead of the 4th Private Tourist Accommodation Forum in Zagreb on February 2-3, she said about 1,000 participants were expected.

Cavlovic said Croatia's model of private tourist accommodation had been recognised and awarded in Europe, but that despite its contribution to Croatia's micro enterprise and tourism results as well as demographic and social picture, some in Croatia were worried by its growth, claiming it was not in line with the tourism strategy.

She said private renters' investment, hiring and contribution to the state budget were insufficiently acknowledged. As of 1 August 2017, 92,000 households with 545,000 beds were registered for providing accommodation, or 11,000 more households and 50,000 more beds on the year, she added.

Cavlovic said private accommodation had raised its share in Croatia's tourism to over 50% and that in 2017 it generated the highest number of nights across all types of accommodation, accounting for 35% of last year's 102 million nights. Directly or indirectly, private renters employ 350,000 people, turning over EUR 2.5 billion last year, she added.
Cavlovic said arrivals and nights in private accommodation were expected to further rise this year.

It is estimated that private renters have invested over EUR 15 billion in their facilities and that their annual investment in maintenance revolves around EUR 120 million, including a minimum EUR 200 per bed, with an additional EUR 130 million invested in swimming pools, spas, cycle tourism, playgrounds, marketing etc, she said.

A recategorisation of private renters, most of which have two or three stars, is necessary to increase quality, and this calls for more favourable subsidised loans, Cavlovic said. (Hina)

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