Budva's Tourism Season Under Pressure: Tax Hikes and Construction Cast a Shadow

Budva, Montenegro: Tourism Season Begins Amidst Tax Hikes and Construction Concerns Budva, Montenegro, June 1, 2025 – The start of the summer tourist season in Budva is marked by a mix of anticipation and concern. Recent tax increases and rising prices for goods and services are creating uncertainty among local businesses and residents. "Prices are the same as in Croatia and Cyprus," says one Budva resident, interviewed in the video. However, others express worry about the impact of ongoing construction projects, which are disrupting access to popular tourist areas. "Tourism and construction, tourism and cranes—they don't go together," laments a local business owner, highlighting the challenges of balancing development with the needs of the tourist industry. The video also shows the impact of the increased VAT on hotel prices and other businesses. The increased costs are impacting the affordability of Budva for tourists. The local government is facing criticism for its handling of the situation, with concerns that the lack of planning will negatively affect the tourist season. Despite these challenges, there is hope for a successful season. The beautiful beaches and attractions of Budva remain a draw for visitors, and many are still optimistic that the tourist season will be a success.