Simona Man, president of the National Authority for Tourism, ANT, stated that hoteliers must lower rates by 15%, after the VAT reduction, and the state will promote these reductions abroad, thus attracting 25% more tourists.
Simona Man estimates that following the promotion of the accommodation rate reductions, the number of foreign tourists in Romania will increase by about 25%.
The reduced VAT rate of 9% targets all types of tourist packages containing at least accommodation starting this year. Hoteliers have announced that the introduction of this facility will be followed by a reduction in rates by an average of 10% and an increase in the number of tourists.
In the period of January 28 – February 1, Romania was present at the FITUR tourism fair held in Madrid with a 175 sqm stand, where 27 exhibitors presented their offers, including agencies, hotels, airlines, and local authorities.
Source: Mediafax
Frequently Asked Questions
How does the 9% VAT reduction affect tourist packages?
The reduced VAT rate applies to all packages including accommodation, aiming to lower consumer prices and boost industry competitiveness.
By how much should hotel rates decrease according to ANT?
ANT President Simona Man states that hoteliers should reduce rates by 15% to fully reflect the tax cut in their pricing.
What is the estimated increase in foreign tourist numbers?
Authorities estimate a 25% increase in foreign tourists following the promotion of these reduced accommodation rates abroad.