What changes await us in tourism?

The tourism sector is ready for Croatia’s entry into the European Union, and as the conditions for the operation of tourism entities in Croatia and the EU are equalized, the Ministry of Tourism (MINT) believes that stronger competition after entry will contribute to the improvement of the quality of products and services.

Among the significant changes awaiting the tourism sector following Croatia’s entry into the EU, MINT emphasizes that from July 1 of this year, all EU citizens will be able to provide some services that have so far been reserved only for Croatian citizens under equal conditions, such as hospitality services in households, as well as services of tourist guides, companions, and branch managers, in accordance with our legal solutions.

In addition, the conditions for crossing the border for all citizens of EU member states are significantly simplified, as they note that already in July of this year, border controls with Slovenia and Hungary will merge into one, which should make the ‘flow’ of tourists faster and simpler, and reduce congestion on Croatian roads during the peak summer season.

A new visa regime is also in place for citizens of non-EU countries, and in accordance with EU rules, they will need to have a Croatian visa. This, according to MINT’s assessment, will somewhat complicate the arrival of tourists from some countries such as Russia, Ukraine, and Turkey, but given that the possibility of entry for all foreign citizens outside the EU based on holding a Schengen visa from any EU member state is still expected, this will simultaneously ease the newly created situation for the mentioned markets.

In this regard, MINT also notes that the Ministry of Foreign and European Affairs is taking all necessary preparations to facilitate and expedite the visa issuance process for tourists from the mentioned markets with the least possible costs.

Croatia’s entry into the EU will benefit Croatian tourism, and one of the greatest benefits highlighted by MINT is the possibility of using funds from EU funds for co-financing tourism projects from the public, private, and civil sectors, i.e., projects of public tourism infrastructure, promoting small and medium-sized enterprises, and developing human resources.

As a result, operational programs are already being developed to define what tourism needs and into which public tourism infrastructure to invest, while the preparation of projects for the development of human resources will be done in agreement with other ministries.

For the small and medium-sized enterprise sector, MINT states that they will be able to use funds directly, while large companies will be able to do so through clusters. They also add that consultations are ongoing at the national level with all stakeholders regarding the use of structural and other EU funds for the period 2014-2020, and the main basis for this process in tourism is the new Strategy for the Development of Croatian Tourism until 2020, adopted in the Parliament at the end of April.

In response to the question of whether there is an initiative this year, similar to last year and due to Croatia’s entry into the EU, to allow foreign tourists to pay in euros (in restaurants, for excursions, souvenirs, at gas stations, etc.), MINT emphasizes that the craftsman-hospitality provider currently has the option to charge in cash in foreign currency, but only exceptionally, and this cannot be a permanent practice nor can such a method of operation be advertised.

For now, the currency of payment in Croatia is the kuna, so the payment for services to tourists in hospitality establishments for the preparation and serving of food and drinks is also done in kunas and payment cards. In the case of charging in another currency, the hospitality provider is obliged to issue the bill for the service in kunas, and the conversion to foreign currency must be done at the average exchange rate of the Croatian National Bank (HNB), MINT warns.