Croatia is facing a sharp decline in tourism as rising prices deter visitors from key markets such as Germany and Italy, threatening the country’s long-held reputation as a budget-friendly destination.
Over the past three years, travel-related costs in the Adriatic nation have increased by an estimated 50%, outpacing price growth in rival Mediterranean markets such as Spain and Greece, where increases have been more modest at 15–20%.
The surge in prices has led to a drop in overnight stays and a decline in foreign tourism revenue, which fell by 0.7% during the 2024 peak summer season compared to the previous year.
“Everything is much more expensive than before,” one Norwegian tourist wrote in a review on travel platform Tripadvisor. “Prices are abnormally high and have probably increased two to three times in two years.”
While Croatia continues to offer relatively low energy costs and a reduced tourism VAT rate of 13%, industry experts say operational costs in the hospitality sector have soared, pushing prices higher.
“Croatia was our first choice for summer vacation,” another reviewer wrote. “But now everything has unfortunately become too expensive.”
Despite the overall trend, some visitors report more stable prices in certain locations. “There wasn’t a great variation in prices year-on-year,” a British tourist noted, comparing food and drink costs in Rovinj (2023) and Hvar (2024).
Croatia has traditionally been popular among tourists from Germany, Austria, the Czech Republic and Italy, drawn by its scenic coastline and lower prices. Analysts warn that the country’s competitiveness in the tourism market could suffer if price inflation continues unchecked.