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Prime Minister presents projects worth EUR 85 million and positive tourism results for 2024

Prime Minister Andrej Plenkovic participated in a meeting of the Government and the tourism sector in Split, where projects worth EUR 85 million and excellent tourism results for 2024 were presented, including an increase in arrivals and overnight stays.

Prime Minister presents projects worth EUR 85 million and positive tourism results for 2024
Photo by: vlada.gov.hr/ vlada.gov.hr

Prime Minister Andrej Plenković participated today in Split in the 10th meeting of the Government and the tourism sector, where a new legal framework for tourism development was presented.

The participants were also informed about the implementation of the Law on Undeveloped Construction Land, the safety of tourist destinations, and permits for work in tourism and hospitality. Challenges and opportunities in the labor market and the competitiveness of Croatian tourism were discussed.

Projects worth 85 million euros for the development of Split and the Split-Dalmatia County
Prior to the meeting, six contracts for the purchase of electro-diesel trains for connecting Split and Zagreb, worth 57 million euros, were signed. Additionally, a number of contracts from the environmental protection and green transition sector were handed out, and the Dračevac Technology Park, the largest in Croatia, was opened. This park is the result of a donation of the old barracks to the City of Split by the Government back in 2018.

Prime Minister Plenković emphasized that these projects, worth almost 85 million euros, will significantly contribute to the development of Split and the Split-Dalmatia County.

Tourism results so far exceed last year's
Presenting the results of this tourist season, the Prime Minister highlighted the achievement of 10.2 million arrivals and 46.8 million overnight stays, which is five percent more arrivals and one percent more overnight stays than last year. The pre-season also recorded a better result with 11 percent more arrivals and 12 percent more overnight stays compared to last year.

Fiscalized receipts in tourism amount to 3.24 billion euros, which is 14 percent more than in the same period last year. Traffic on highways recorded 34.2 million vehicles from the beginning of the year to July 15, which is 11 percent more than last year, and 12 percent more tolls were collected, amounting to 205.2 million euros excluding VAT. The number of passengers at Croatian airports increased by between 10 and 25 percent.

Resilience, competitiveness, and sustainable tourism development
Currently, about one million tourists are staying in Croatia. Prime Minister Plenković highlighted the resilience and competitiveness of Croatian tourism, which is strategically oriented towards sustainable development. Croatia is among the most attractive European destinations and the 18th tourist destination in the world.

The Prime Minister also presented the overnight results by counties: Istria County records 13.4 million overnight stays, Split-Dalmatia 8.6 million, and Primorje-Gorski Kotar 7.6 million. Continental counties achieved around 670 thousand arrivals and 1.3 million overnight stays, which is seven percent more arrivals and six percent more overnight stays than last year. The most frequent guests come from Germany, Slovenia, Austria, and Poland.

Eurozone and Schengen area as a boost to the tourism sector
The Prime Minister emphasized the importance of continuing the trend of reducing the inflation rate and avoiding an increase in inflation in the heart of the tourist season. He reminded that the Government provided significant support to the tourism sector during crises, from Covid to the energy crisis. Additionally, Croatia's membership in the Schengen area and the eurozone, along with a high investment credit rating, creates a favorable framework for business in tourism.

Investments in tourism
The Prime Minister stated that the total amount of investments in tourism in the past eight years is estimated at 6.25 billion euros, while the Government has secured 1.3 billion euros for sustainable tourism projects by 2030. For the first time, non-refundable European funds of 290 million euros have been secured for both the public and private sectors through the National Recovery and Resilience Plan. Additionally, 60 million euros from the state budget have been secured for the development of health tourism.

„Our goal is for legal regulations to be simple, accessible, and understandable, so that tourism can benefit greatly“, concluded the Prime Minister, calling on the meeting participants to point out any obstacles so that they can be addressed before the final adoption of by-laws.

Increase in arrivals and overnight stays in 2024
According to the latest report from the Croatian National Tourist Board, the first three months of 2024 recorded a significant increase in arrivals and overnight stays. Compared to last year, arrivals increased by 26%, while the number of overnight stays increased by 32%. These results also exceed the figures from 2019, when arrivals increased by 17% and overnight stays by 34%.

In the first quarter of 2024, Istria led with 772 thousand overnight stays, Kvarner with 534 thousand, and the Split-Dalmatia County with 333 thousand overnight stays. Zagreb, Rovinj, Dubrovnik, Split, Opatija, Poreč, and Zadar also recorded a significant number of overnight stays.

Strategies for further growth
The strategy of sustainable and year-round tourism development is yielding positive results, as confirmed by financial indicators. Fiscalized receipts in tourism amount to 3.24 billion euros, which is 14% more than last year. Highways recorded 34.2 million vehicles, and the number of passengers at airports increased by between 10 and 25%.

In the first three months of 2024, domestic guests achieved 962 thousand overnight stays, Slovenians 285 thousand, Germans 279 thousand, and Austrians 250 thousand overnight stays. Hotels recorded the highest number of overnight stays, followed by private accommodation and camps.

Impact of Schengen and eurozone membership
Croatia's membership in the Schengen area and the eurozone has further stimulated the tourism sector. Along with a high investment credit rating, this creates a favorable framework for business and further tourism development. Prime Minister Plenković emphasized the importance of continuing to reduce the inflation rate and providing support to the sector to maintain positive trends.

The Prime Minister concluded that the Government's goal is to ensure simple, accessible, and understandable legal regulations that will enable further growth and development of tourism, and called on the meeting participants to point out any obstacles so that they can be promptly removed.

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Creation time: 24 July, 2024

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