Balkans target grey economy in tourism as Bosnia and Croatia push tighter rules on short‑term rentals

In a joint effort to curb the grey economy in tourism, Bosnia and Herzegovina’s entity ministries have intensified actions aimed at regulating global short‑term rental platforms such as Booking and Airbnb. Ministers Ned Puhovac, Amir Hasičević and Nasiha Pozder discussed measures that include requiring the platforms to appoint tax representatives in the country and considering the opening of local offices. Pozder said, “Cilj je smanjenje sive ekonomije, transparentniji finansijski tokovi i veća sigurnost gostiju koji dolaze u Bosnu i Hercegovinu.” A regional meeting with Serbia, Croatia and Montenegro is also planned to coordinate a common stance.

In Croatia, the Association of Entrepreneurs (UGP) and the Save Small Family Renters group met with the finance ministry to review proposed tax changes affecting micro, small and medium‑size enterprises and short‑term rental hosts. Representatives warned that broad penalties could hurt legal operators, noting that while the tax reform could generate about €60 million in revenue, it risks undermining family‑run tourism businesses. Bruno Samardžić emphasized that “the grey economy is a state problem, but it must not be solved by punishing those who operate legally.” Both sides called for concrete dialogue and targeted enforcement rather than blanket measures.