Travel to pricey Croatia remains popular

Rapidly rising prices have failed to discourage tourists from travelling to Croatia, according to the most recent statistics. The former Yugoslav republic’s coastal areas-especially Rijeka/Opatija and Dubrovnik-have become hugely popular among German, Hungarian and Italian tourists, looking for a holiday destination that combines attractive beaches and recreational opportunities with a rich historical heritage. In fact, if predictions turn out to be accurate, Croatia’s tourism industry will expand by a further 3 percent before the end of the year. Most of this growth, however, is expected to take place during July and August, when an increasing number of low cost carriers offer seasonal flights to this south-eastern European country.

Inflation in Croatia, however, now stands at 6.4 percent, which also means that this is becoming a much more expensive holiday destination than it was in the past. During the mid to late 1990s, few western Europeans travelled to Croatia, but it was already popular among Hungarians and a growing number of Germans. Ten years ago, it was not at all unusual to find three to four star hotels in coastal areas for under $50, including both board and accommodation.

While hotel prices have increased, so has the cost of fuel, and this may spell trouble for Croatia, as most visitors still travel by car, rather than by airplane or train. Additionally, the price of petrol in Croatia is generally higher than in neighbouring countries. Yet Zelimir Kramaric, a high-raking tourism ministry official, remains optimistic and believes that 3 percent growth is still a realistic projection.