Croatia’s government has unveiled a broad set of reforms aimed at tightening oversight of its booming tourism industry, seeking to curb illegal rentals and improve transparency in a sector that underpins much of the country’s economy, reports HINA.
At the center of the proposed legislation is a requirement that every short-term rental property obtain a unique registration number, a measure officials say will help combat a thriving gray market that has long operated alongside the formal system.
Tourism Minister Tonči Glavina said the law responds to a range of abuses, from unregistered accommodation listings to the mislabeling of commercial rentals as private use. The changes have been submitted for public consultation.
Under the new rules, platforms such as Airbnb and Booking.com would be required to ensure that listed properties are properly registered, or face steep financial penalties.
The government also plans to tighten eligibility for private renters, limiting the activity to property owners and their immediate family members, and expanding enforcement powers to local authorities and customs officials.
Officials say the reforms are also intended to address lost public revenue. Last year, private renters failed to pay an estimated €13 million in tourist taxes, a shortfall the government now aims to reduce by linking compliance to licensing.
The measures come as Croatia grapples with the broader consequences of its tourism success, including housing shortages in coastal areas and rising pressure on infrastructure. Early data suggests a shift may already be underway, with a decline in short-term rental capacity and a rise in long-term leasing.
If adopted, the legislation would mark one of the most significant overhauls of Croatia’s tourism framework in recent years, signaling a move toward stricter regulation of an industry that has long thrived on flexibility.
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