Travel Reference
In-Depth Information
most attractive in Europe, reflecting the impact
of privatization.
The expansion of good quality private
hotels, usually small and family run, is one of
the strengths of Bulgarian tourism, although it
has meant a growth of room capacity greater
than the increase in tourists. As a result, the
average occupancy rate fell from 56% in 1990
to 32% in 2000 (Marinov, 2004). Even more
troublesome is the fact that this accommodation
growth has not been matched by infrastructural
development in the resorts. The condition of the
infrastructure in some seaside (Slunchev Briag
is the obvious example) and mountain resorts
(Bansko) is extremely poor. The inflow of tour-
ists to many areas is far greater than the capa-
city of the infrastructure to support them. Such a
situation can hardly be regarded as sustainable
(Bachvarov, 1999).
What is the reason for this unfortunate situ-
ation that could in the near future endanger the
overall development of the Bulgarian tourism
industry? Taking into account that hotels and
other tourism facilities are no longer state-run, the
state cannot subsidize the infrastructure any
longer. Local authorities earn considerable
income from resorts, but appear to fail to maintain
the infrastructure sufficiently. Re-privatization of
land in the resorts has also created a maze of
legal problems and contradictions regarding
management responsibilities.
In order to cope with this situation, in
December 2004 the government granted muni-
cipality status to nine resorts - seven on the coast
(Albena, Zlatni Piasatsi, St Konstanin, Eleni,
Slunchev Briag, Primorsko 'Youth Centre' and
Duni) and two in the mountains (Borovers in
Rila and Pamporovo in the Rhodope). They are
defined as settlements of national significance.
The construction and urbanization plans in these
resorts will have to be approved by the Minister
of Regional Development, unlike previous prac-
tice when municipal councils could decide on
local spatial development policy (Sofia News
Agency, 2005).
Another threat is the illegal building of
hotels and restaurants on the coastal strip,
often on the beaches themselves. This has dis-
turbed the physical planning of the resorts
producing unplanned development. Thus, the
incompatibility of the 'get rich quick' attitude
with an orderly, ecological and sustainable
development lies behind these problems. Often,
violations of the 50m zone above the water
line, which is legally protected from develop-
ment, are in favour of local politicians and
businessmen who have often exerted pressure
on local officials.
One problem facing both the functioning of
the infrastructure and employment in tourism is
the question of seasonality. Over 90% of the
coastal facilities are operational only between
June and the end of September, although sea-
sonality is less important in urban hotels and in
spas. In the mountain resorts there are two
peaks of occupancy, with domestic tourists in
summer and both foreign and Bulgarian
visitors in winter. In terms of overnight stays and
revenue, the winter season from the end of
December until mid-April is the more important.
Tourism Markets
Since 1989 a dramatic change has occurred in
foreign tourist arrivals by region of origin. Central
and East European tourists, who represented
80% of overnights until 1990, practically disap-
peared. Visitors from adjacent countries (Turkey,
Greece) increased dramatically, although their
stays were usually short or in transit, thus having
a weak economic effect. The Western European
share remained relatively stable, Germany and
UK being the major inbound tourism markets,
but in terms of overnight stays and revenue this
sector also seriously declined.
The assumption that tourism could become
a priority sector did not prove correct in the early
stages (1990-1996) of transition to a market
economy (Bachvarov, 1997a), but in 1997 the
ineffective socialist government was over-
thrown and the country embarked on a large-
scale market transformation. The tourism sector
developed dynamically, and since 1998 tourism
indicators have constantly risen. In 2001-2004,
in spite of the crisis in global tourism after '9/11',
inbound tourism to Bulgaria exhibited one of the
steepest increases in Europe. In 2004, when
the country was visited by 7 million foreigners,
including 4 million for tourism purposes (and a
further 2.3m in transit), revenue of
€
1.8bn was
generated. Yet, this is only 0.3% of the global
and 0.5% of the European income directly
generated by tourism. The revenue was earned
