March 30, 2021 - After a unique local tourist experience, it's time for fine wine, but what if you only have cryptocurrencies? Say no more. With Ivan Vuković and Sasha Lušić, you can pay for a wine and tourist tour in Dubrovnik with cryptocurrencies.

"Many tourists do not carry cash with them, and people from developed countries do not handle cash at all. Although they have been in circulation for 60 years, cards are still a high-tech thing for us, and we are afraid to embrace the novelties," says Ivan Vuković, a tourist guide of Dubrovnik.

Paying with cryptocurrencies is very simple - you can have a card or a mobile option, which converts all payments into currency. "Simple, contactless - which is important for covid regulations and one more way of paying," says Sasha Lusic, the owner of D'vino wine bar Dubrovnik.

Book a trip and pay with crypto or order your favorite wine and pay for it in the same way - life has become simpler. These two entrepreneurs are also targeting the younger gadget clientele because, as they say, it is sometimes difficult to change the habits of the older clientele.

Ivan and Sasha say the pandemic has given them a chance to reset and turn to slower and more sustainable tourism. "Why not offer something sustainable while letting people know that we follow trends," say these entrepreneurs, adding that cryptocurrencies are gold today.

"Unfortunately, it is easy to be successful in Croatia because people are passive. Sad but true," says Ivan. "Sasha and I are constantly exchanging ideas, thinking, putting things on paper. We are not passive; we follow trends very closely."

After considering the idea, they made a few calls about whether it is possible to charge in that way. When the software engineers confirmed that is possible to do that, they just went for it. Some hotels and gas stations already have this option, but in the circles of wineries and tourist guides, payment in cryptocurrencies does not exist.

Ultimately, they are hoping for a more significant inflow of money, precisely because many people keep their money in various cryptocurrencies. They have to spend the money they earn by trading cryptocurrencies.

"Of course, everything depends on the season, but with this, we are doing a long-term story. Also, we are the first to remember," concludes Ivan.

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March 30, 2021 - The talk of the new marina for super yachts in Rijeka, Porto Baroš, brings both the hype of development and concerns for public interest.

Porto Baroš in Rijeka, a marina with the potential of 500 ties, is the subject of a public call to be assigned the concession for the next 30 years. The call offers the possibility of expanding to the travel port's entire area, reports the Rijeka-based Novi List daily newspaper. The call was open a month ago. The decision is expected to be known in the following ten days, after which the Ministry of Sea, Transport, and Infrastructure will decide to assign the concession that will be delivered to the Croatian government.

The trading company ACI-Gitone, owned by ACI (Adriatic Croatia International Club) and Lürssen (German yacht company), answered the public call with an investment offer of 363,7 million kunas.

As Novi List learns, ACI- Gitone plans to ask for the expansion of concession to the area owned by Rijeka Port Authority and currently functions as „the port for big yachts". If approved, the Rijeka marina would become the biggest in all of Croatia.

Oleg Butković, minister of the Sea, Transport, and Infrastructure, is very happy about the offer of ACI-Gitone.

„This investment makes me happy as we know that with such a marina capable of hosting megayachts comes a series of additional services. Rijeka and its surroundings must take such opportunity", said minister Butković.

Mayoral candidate critical of the offer

On the other hand, the left-green party Možemo! (We can!) mayoral candidate for Rijeka Nebojša Zelić is opposed to the investment, says Novi List.

Zelić adds he has no problem with the concession for Baroš, but he has issues with the idea of expanding concession to the larger area of Travel coast and Molo Longo.

Nebojša Zelić, screenshot / Možemo! Politička platforma

„This is against public interest given that the concession is given to a minimum of 30 years and there is a possibility that the citizens could be denied access to the sea. That's problematic as it opposes the law of concessions which forbids changing the subject of the public call and in this case that is the expansion of the concession", said Zelić.

He points out that Rijeka's waterfront and Molo Longo unlike Baroš are not nautical tourism and that experience showed how much these places are valuable to the locals. „If these places are shabby, that's the problem of bad management by Rijeka's Port Authority and citizens can't be the hostages of bad management by the Port and the City of Rijeka", said Zelić. He also accused the leading party Croatian Democratic Union (HDZ) for controlling the most valuable city property through Port Authorities. Zelić's party colleague Sandra Benčić said that the current General Urban plan in Rijeka disables nautical tourism port on Rijeka's waterfront and Moro Longo. She says that can change and that HDZ is counting on it if they get the majority in the city council on the upcoming local elections in May.

„I believe that Rijeka citizens will know to say no to denying access to the sea. We will publicly step out in front of the government to disrupt the expansion of the concession and prevent HDZ's interest being above the public's interest, and we will fight in the parliament too", announced Benčić.

For more about investments in Croatia, follow TCN's dedicated page.   

March 25, 2021 - Both the Croatian Ministry of Tourism and Sports and Croatian tourist boards recognised the development of health tourism as a high priority for Croatia.

To discuss the development of health tourism in Croatia, a branch that is becoming one of the more important Croatian tourist products, Croatian Tourism and Sports minister Nikolina Brnjac met with Kvarner Tourist Board director Irena Peršić Živadinov, Kvarner Health Tourism cluster president Vladimir Možetič, and Zagreb Tourist Board director Martina Bienenfeld. As life expectancy and healthy lifestyle trends increase, the value of health tourism grows. The novel coronavirus only made that growth even more rapid.

"Over 80,000 tourists in 2020 visited Kvarner (well-known for Lošinj Island and its hospital for respiratory issues) for health services. Today, many people are recovering from the consequences of the novel coronavirus there," said the Kvarner Tourist Board director Živadinov.  

"We have all the advantages for further development of health tourism: a good reputation of health services, qualified staff, natural richness of thermal sources, good climate, and long tradition of tourism," said minister Brnjac. Her goal is to pull Croatia out of the perception of a country only good for the summer season.

Croatia offers health services in wellness and medicine tourism. Health tourism is most associated with the regions of Kvarner, Istria, northern Croatia, and Zagreb, but the goal is to include other regions that have the potential for health tourism and to achieve the goals of a strategy that needs to be accomplished by 2030.

Martina Bienenfeld said that the Zagreb Tourist Board is working on the City's recognition as the centre of medical excellence. She pointed out good traffic connections, a mixture of the Mediterranean and mid-Europe climate, as well as good prices of health services as great advantages of Croatia's capital to the international clientele.

The Health Care Bill and Services in Tourism Bill now allow hospitality and health tourism services in hospitals and medical centres. These legal changes are also significant in attracting further investments in the field.

For more about travel in Croatia, follow TCN's dedicated page.

March 24, 2021 - Poreč strengthens agriculture with exciting new projects implemented by the City. 

Last Friday the city of Poreč signed contracts for assigning funds to the agricultural civil societies to help their projects and programs. The continuation of the tradition established in the last two years, Poreč city gave 150.000 kuna to associations Bio Istra and Agro Poreč through a public contest, both for their day-to-day work in agriculture and for the project "Eko! impjantamo ružmarin" (Eco! let's plant rosemary) which includes going to schools and giving pupils unprocessed rosemary to plant in the school. The project is at full speed and even the coronavirus pandemic didn't stop them, as the first phase of the project was done via Zoom.  In the early stages of the project, the goal is to establish cooperation between the only two high schools in Poreč: Mate Balot High School and Anton Štifanić Tourist School.

"We started with the first workshop in preparing rosemary seedlings with the agrotechnical pupils at Mate Balot and we will use it to decorate the garden of Anton Štifanić Tourist School," said Vlasta Radoičić, president of Bio Istra. Her association exists for the past 23 years and is working on the county level, determined to activate as many people as possible to boost family agricultural businesses. 

"Poreč was the cornerstone of eco-agriculture and it needs to remain that today and become a modern teacher of the area", concluded Radojčić.

Poreč is one of the strongholds of Croatian tourism in Istria, but it's also a truly agricultural city. Loris Peršurić, mayor of Poreč not only knows it but strongly supports it. 

"We have a 145-year-old institute for agriculture and tourism as well as a 138-year-old agriculture school, the only one in Istria, which means a lot for our city", said Peršurić. He adds that is precisely why he tries to support and help projects related to agriculture which includes co-financing the Centre for invasive species in common projects and as mayor, hopes to valorize a wine cellar that dates from the Austro-Hungarian Monarchy rule and is known today as enoteca (wine library) in the community. "Poreč is the headquarters of famous winemakers and olive oil makers and our agricultural story continues to grow and develop", concludes Peršić.  

The city also finances the project "Apply for Agriculture School - Produce Food and Take Care of the Environment" which resulted in a 50% increase in pupils educating in the school and there are opportunities for pupils to continue education in the field in Poreč too. 

seedling planting © Udruga Bio Istra

 Local olive treasure

Poreč is also proud of its local olive species Porečka Rosulja, which was first described by a famous local scientist Carlo Hugues 120 years ago. The olive wasn't researched much after that, but today, scientists from the Agriculture and Tourism Institute are out on the field to pursue the described treasure of the Poreč olive scene. Agro Poreč association secretary Zdenko Barac whose organization is dedicated to promoting local agriculture and seedlings distribution is included in this research. He is thankful that the city recognized the importance of Porečka Rosulja and its investment in the "mother field" in Poreč where new seedlings will be prepared for further distribution and for another olive plantation in St. Martin Bay, which will have both educational purposes and will be a nice architectural touch to the landscape of the area. No to mention, a nice dedication to Hugues which first described the species.  

"The number of seedlings is growing. This is the third year of the project where we have 530 seedlings and we started with 170 in 2019", says Barac. The plan is to prepare the best seeding material and apply them to the  Croatian Center for Agriculture, Food, and Rural Affairs.

"There are very few cases in the world where a species is named after city so we can boast about that", concluded Barac.

For more about agriculture in Croatia follow TCN's dedicated page.

ZAGREB, 23 March, 2021 - Croatia's economic recovery from the pandemic recession hinges on the tourism sector's recovery, the Standard & Poor's agency said, assessing that recovery and protective mechanisms will offset the risks caused by the pandemic.

Croatia's economic recovery from the pandemic-induced recession is within reach as long as tourism picks up, S%P's said in its outlook released on Tuesday.

It recalled that Croatia's credit rating is 'BBB-/A-3', with a stable outlook.

Impact of COVID-19 pandemic blow to tourism

Croatia's economy is expected to expand by 5.1% this year, S&P's said in its latest outlook contracting Croatia's estimated GDP growth by half a percentage point.

In 2020, the country's GDP fell by 8.4% according to S&P's forecast, however this is 0.4% percentage points less than it had forecast in its autumn outlook in September.

In 2022 the economy is expected to grow by 3.5%, and by 2.6% in 2023 and 2024.

S&P considers that mass vaccination against COVID-19 is a precondition for economic growth which will relieve travel restrictions hence boosting tourism.

Tourism in fact has been affected the most by the pandemic, causing GDP to contract by more than 8% in 2020.

"This highlighted vulnerabilities due to Croatia being one of the most-tourism dependent sovereigns in Europe," S&P's said, adding that "despite prospects of a dynamic summer season, we assume that the tourism sector won't fully recover to the record pre-pandemic numbers over the coming two years." 

Strong protection mechanism

Even though this has left its mark on the balance of payments, Croatia still has strong protection mechanisms against potential external pressure with its high foreign reserves and its swap line with the European Central Bank.

Also, Croatia entered the pandemic period with an improved budget situation and the government could reach out to strong fiscal support measures to relieve the consequences of the pandemic on the labour market.

The budget deficit to GDP this year will amount to 2.9%, which is 0.1 percentage points better than the autumn outlook.

In 2020 the budget deficit amounted to 7.8% of GDP or 1.4 percentage points more than estimated last September.

Next year that deficit could be reduced to 2.0% of GDP and to 1.5% in 2023.

S&P's underlined Croatia's plan for "quick euro adoption is Croatia's key policy goal, after last year's entry into the Exchange Rate Mechanism (ERM II)."

Favourable financing conditions

Due to the pandemic, public debt jumped to a record 88% of GDP in 2020, "however, the government's debt profile benefitted from historically low funding costs and extended debt maturities."

This year it is expected to fall to 84.3% of GDP and below 80% again in 2024.

"We could lower the ratings on Croatia if, contrary to our expectations, external financing pressure was to build or if public finances failed to recover over the coming two to three years, pushing public debt up," S&P said.

The report recalls that Croatia is also entitled to ample EU funds under various envelopes including Next Generation EU and the Recovery and Resilience Facility in the coming years, which will probably contribute to economic recovery.

Additional support should be available for reconstruction efforts following the earthquakes that hit Zagreb in March 2020 and Sisak-Moslavina County in December 2020.

"Net inflows from the EU budget could also support fiscal buffers without unduly constraining investments, which underpins the importance of efficient preparation and the absorption of available funds," S&P's report notes.

For more about business in Croatia, follow TCN's dedicated page.

March 21, 2021 - The fourth online edition of the Communication Management Forum held from 19 to 20 March discussed what awaits us after the pandemic. There was also talk of tourism recovery, the industry hardest hit by the coronavirus pandemic.

The Communication Management Forum (CMF) was held online and was attended by scientists and experts from several countries, including Spain, Turkey, the United Kingdom, Russia, and India. The scientific event proved to be an excellent opportunity for a multidisciplinary discussion necessary about a crisis like pandemics. The conference opened numerous topics in sociology, communication, economics, and tourism, and gathered scientists and experts offered their views on what awaits us once the pandemic is over.

A key issue discussed at the CMF was what awaits us after the pandemic. The participants at the virtual roundtable "Post-pandemic world: a bad picture or good opportunity?" came to a common conclusion that adaptation was inevitable and that the change of business and social paradigm is something else we need to work on. Therefore, the pandemic and the post-pandemic world are equally seen as a good opportunity for all segments of private and business life.

"The situation caused by the pandemic was a threat to humanity. We are stuck in our own homes, and everything very quickly shifted from the real world to online. The way we live now is our present and near future, we have to accept that, but we don’t have to come to terms with it. We should try to lead a life as normal as possible. Still, the big question remains, how we will recover as a society in the anthropological sense?" said Slovenian anthropologist Dan Podjed.

The pandemic flooded the media with negative headlines, followed by a bit of encouraging news when the first vaccine appeared. Still, with a new wave of pandemics increasing, we returned to a negative perspective. Nevertheless, some sectors and segments of life have experienced tectonic changes, which will significantly affect the recovery and development perspective.

"Before the pandemic, tourism was mass, and it was focused on the number of as many guest arrivals possible in destinations around the world. This has completely changed the concept of tourism functioning. Stakeholders in tourism will have to accept the new reality and focus on the quality offered to attract tourists to their destinations, who will return in the future," said Jeremy Sampson, CEO of Travel, a leading NGO in the travel and tourism sector.

Sociologist Branko Ančić from the Institute for Social Research believes that crises like this increase the problems we have had as a society before.

"The pandemic has opened up many problems. On the one hand, we see an increase in hate speech in relation to different social groups, and on the other, we are witnessing immense togetherness. To deal with everything that this crisis has brought us, we need more responsible behavior of everyone in society," said Ančić, one of the co-chairs of the CMF Committee.

The Communication Management Forum 2021 was organized by Edward Bernays University College, the Institute of Tourism, and the Institute for Social Research in Zagreb. The two-day conference offered answers to questions about developing business and private life after the end of the pandemic. Scientists and experts agreed that the crisis had created many backs, but that adjustment has been key. Many agreed that the pandemic indicated that we were facing crises and challenges relevant in the next few years.

In four editions, the CMF has gathered more than 750 scientists and experts. The conference has also contributed to the conclusions from the communication and tourism aspect for many years. As Damir Jugo, Dean of Edward Bernays University College points out, this year’s edition has been the most scientifically relevant so far.

To read more news about lifestyle in Croatia, follow TCN's dedicated page.

ZAGREB, 18 March, 2021 - The parliamentary opposition on Thursday strongly criticised the opening of the domestic labour market to tourist guides from other EU countries, saying they often did not have the required qualifications nor could they do as good a job as domestic guides.

Marin Miletić (Bridge) said a bill of amendments to the law on tourism services would allow foreign guides to present Croatia without sufficient education. "Such a presentation will be superficial and disorganised, and the tourist experience incomplete."

Hrvoje Zekanović (Sovereignists) said what guides said was important but that the way they spoke about a locality, whether it was with love, a stand and empathy, was much more important.

Katica Glamuzina (Social Democrats) said the bill did not take into accounts the remarks made by tourist guides and professionals, while her party colleague Boška Ban Vlahek said it destroyed the profession of Croatia's 5,500 guides.

Mato Franković of the ruling HDZ said that although he felt that Croatia should align with European regulations, the bill was not fully worked out regarding tourist guides.

"It's not unimportant who will guide groups in protected localities and how, nor is it enough to pass an exam in a couple of months and guide, for example, the sightseeing of Dubrovnik," he said, announcing amendments for stricter educational requirements for foreign guides.

Marijana Balić (HDZ) said it was important to prevent a potential misinterpretation of Croatian history and that special attention should be paid to localities of special respect such as Vukovar.

Only guides who pass Croatian language exam at protected localities

Tourism Ministry state secretary Tonči Glavina said only licenced guides who pass a Croatian language exam would be able to work in Croatia's 550-plus protected localities.

"That course will be available only in Croatia and the exam will be only in Croatian in front of a commission including our tourist guides," he said, defending the bill.

He said that guides coming with a group, from Germany for example, would be able to guide the group only in a general public area, talking about Split or Šibenik in general, for example, while only licenced guides would be allowed to work in protected localities.

The only change the bill brings is that foreign guides will not have to pass a special exam for Croatia's 21 counties but for regions, or another model will be used, Glavina said.

About 70 foreign guides stay in Croatia annually and they do so for two to three weeks, he said.

The law on tourism services is being amended due to two violations of EU law regarding package travel and the regulation of the profession of tourist guide.

For more about politics in Croatia, follow TCN's dedicated page.

ZAGREB, 12 March, 2021 - The tourism season requires good preparation by the sector and destinations, including setting up VOVID testing stations, inoculating workers in tourism and ensuring safety protocols at border crossings, Minister of Tourism Nikolina Brnjac said on Friday, meeting with directors of regional tourist boards.

During the video conference, which was also attended by the head of the Croatian Institute for Public Health, Krunoslav Capak, he spoke of the current situation with the pandemic and touched on so-called green passports which should represent a health document facilitating crossing borders.

He explained that the certificate would contain information on inoculation against, recovering from and being tested for COVID-19, which should ensure a balanced procedure in EU member states regarding conditions to cross borders.

Capak underscored that an agreement had been reached at the EU level on acceptable fast antigen tests, however most member states, including Croatia, still require a PCR test in order to cross the border.

He said that tourist boards would be issued with information on how to obtain a licence to conduct tests and on issuing credible certificates of testing, the ministry said in a press release.

The ministry underscored that it expects tourist boards to submit their proposals for testing stations for tourists in individual counties in coordination with regional public health institutes.

A list of testing stations will then be advertised on the www.safestayincroatia.hr web site.

Both Capak and Brnjac underlined the importance of inoculation in the tourism sector because workers in the sector generate a lot of contacts and are the first contact point with tourists.

"Inoculation in the tourism sector is an important message of additional safety and responsibility in that sector, which contributes to better positioning Croatia as a safe destination," underscored Brnjac.

"We hope that we will reach an agreement soon on how to facilitate travel for tourists," said Brnjac, referring to tourists from countries outside the EU.

For more about travel in Croatia, follow TCN's dedicated page.

ZAGREB, 12 March, 2021 - Croatia and Israel have started talks on travel and protocols for tourists from the two countries, Tourism and Sports Minister Nikolina Brnjac said on Friday, hopeful an agreement would soon be reached.

Brnjac and Israeli Ambassador Ilan Mor met on Thursday to discuss the travel protocols with the aim of reaching an agreement that would facilitate travel for tourists from both countries during the pandemic.

The minister expressed satisfaction with the meeting at which she informed the ambassador of other activities of her ministry, including a project with the website "Safe stay in Croatia", which provides visitors to Croatia with information on locations and epidemiological restrictions in force as well as recommendations for health safety.

She spoke of special safety protocols which anyone applying for the "Safe stay in Croatia" certificate must comply with and explained how businesses with that certificate would be monitored.

 For more about travel in Croatia, follow TCN's dedicated page.

January 26, 2021 – Siniša Topalović, a tourism consultant, spoke for HTV's Studio 4 show about why it is illusory to expect a pre-season, why Central and Southern Dalmatia will have the most challenging recovery, and where the future of Croatian tourism lies.

In the previous years, the media would already have been full of articles about preparing for the tourist season. Croatia has the largest share of tourism revenues in GDP in Europe, which reaches almost 20 percent of GDP and employs 11 percent of people. During the coronavirus crisis, the state still has high expectations, as it is an important source of tax revenue for it. However, tourism workers mostly complain and have black forecasts.

'The further north we go, the better tourism results'

When asked about official estimates that say Croatia could expect 60 percent of the income from tourism realized in 2019 this year, Topalović said that he believes that such an expectation is still too optimistic according to financial criteria.

"Between 60 and 70 percent of the physical traffic, we had in 2019 is achievable this year. If we talked about 70 percent of overnight stays and arrivals, everyone would sign that result at the moment. Still, when we talk realistically about the financial performance, it is probably about 50 to 60 percent of income," says Topalović, tourism consultant at Horwath HTL.

He added that Croatia does not expect an "even" recovery of tourism, but the results will vary geographically.

"As last year showed, the further north we go along the coast, the better our result is. The reason for this is the geographical position of Croatia. We were lucky that Istria, Kvarner, and the northern Dalmatian counties have relatively good access by road, and people took advantage of that. From Split to the south, the Makarska Riviera, and towards Dubrovnik will continue to have a more difficult situation this year, because the air connection will still not recover," explains Topalović.

He assessed the actions of the state during the pandemic as good and timely.

"Essentially, in 2020, the state reacted well in terms of maintaining employment in the tourism sector. Job-saving measures came relatively quickly, halting a potential wave of layoffs in the hotel industry. Both the management and the staff were protected, and there were no excessive losses. If the measures are extended until April, they should be sufficient to preserve the stability of the tourism sector," says Topalović.

'Now is the time to restructure Croatian tourism'

He says the expectation of a wave of tourists during the Easter holidays as in previous years in these conditions is illusory. Easter comes earlier this year, he says, so traditionally, the pre-season would be weak. But with COVID this year, there shouldn't be pre-season at all. The first wave of tourists is expected during May, and more intense from mid-June.

When choosing between quality and quantity, Croatian tourism has always gone in the direction of quantity. In 2020, it turned out to be the wrong direction.

"Last year denied populism, where the state, through tax systems and everything it did or did not do, allowed an uncontrolled increase in private accommodation of medium and lower quality. Those who were thinking a step further with quality accommodation this year scored and ensured their stability," says Topalović.

He added that quality has won this year, regardless of the type of accommodation, and thinks that this is a sign to those who decide and work on legislative frameworks that the state should encourage quality tourism with all its arsenal. Now is the time, he added, to restructure Croatian tourism.

"It's never a good time for us. When we grow, then we don't change anything because everything is good. When there is a crisis, we don't change anything because we need help. The crisis here has shown in which direction the market is going. Croatian tourism has no future if it stays on the concept of a low-budget mass market, which we currently have," explains Siniša Topalović.

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