MEMBER STATES' ANNUAL TOURISM REPORTING TEMPLATE

MEMBER STATES' ANNUAL TOURISM REPORTING TEMPLATE Article 3 of Council Decision 86/664/EEC 1 of 22 December 1986 establishing a consultation and cooperation procedure in the field of tourism stipulates that: "...each Member State shall send the Commission, once a year, a report on the most significant measures it has taken and, as far as possible, on measures it is considering taking in the provision of services for tourists which could have consequences for travellers from the other Member States. The Commission shall inform the other Member States thereof". The following reporting form aims at facilitating compliance with this Council Decision. SECTION 1 TOURISM ORGANISATION AND GOVERNANCE This section is aimed at reporting on the following: Administrative organisation Territorial organisation Organisation and links between the national tourism authority and the provinces / regions Organisation and links between the national tourism authority and industry associations, stakeholders and customers 1.1. Please provide a short description of the administrative and territorial organisation of public bodies responsible for tourism, indicating the relationship and cooperation between national, regional and local bodies of the core responsibilities and competences of each department (Max. 3000 characters) Since 1 November 2010, responsibility for tourism has rested with the Ministry of Transport, Construction and Regional development of the Slovak Republic (MoT). In 2016, the Tourism Section of MoT was divided into three departments: the Tourism Strategy and Policy Department, the Destination Management Department and the International Cooperation and Destination Brand Management Department. Responsibilities of the Tourism Section included mainly: preparation of legislative regulations, strategy formulation, implementation of the Tourism Support Act (development of destination management), processing statistical data, and administration of the register of regional tourism organizations. The Slovak Tourist Board (STB) was a government agency responsible for promoting the Slovak Republic as a tourism destination and providing information on travel opportunities. It 1 http://eurlex.europa.eu/notice.do?val=123070%3acs&lang=en&list=123070%3acs%2c&pos=1&page=1&nbl= 1&pgs=10&hwords= 1

had nine regional branch offices and six foreign offices located in the Czech Republic, Germany, Poland, Austria, the Russian Federation and Hungary. STB was cancelled by the decree of the Minister of MoT and it officially finished its operation and activities on 31 December 2016. MoT assumed STB s responsibilities for marketing and presentation of Slovakia as a tourist destination. At the regional level, tourism responsibilities were devolved in 2001 to self-governing bodies in eight regions (Bratislava, Trnava, Nitra, Trenčín, Žilina, Banská Bystrica, Prešov and Košice) and municipalities. Local governments in municipalities and towns also play an important role in the development of tourism in their areas. 1.2. Please provide an organisation chart reflecting the above described administrative and territorial organisation. 1.3. Please list and describe briefly the relationship and main areas of cooperation between national/regional public tourism bodies and the most significant / active private organisations / stakeholders / industry associations /unions / consumer organisations. (Max. 1500 characters) Through the Act on Support of Tourism MoT builds a system of destination management organisations (DMOs) in Slovakia, whereby local and regional tourism organisations are created on the basis of voluntary public-private partnership, with financial support from the government. In 2016, there were 35 local and 5 regional tourism organisations created under the above-mentioned Act and responsible for the development of tourism and creation and promotion of competitive tourist products within a respective region or defined territory. Tourism associations contribute at local and regional levels, primarily in the fields of quality improvement, professional training, the application of quality standards and the communication of best practices. Representatives of the seven most important nationwide tourism associations founded The Slovak Tourism Association in 2011 as a voluntary, non-political organisation of employers in tourism. The Association is seeking greater coordination in the sector, involvement in 2

legislative changes and more intense cooperation with STB in promoting Slovakia and supporting domestic tourism. The founding members are the Association of Hotels and Restaurants of the Slovak Republic, the Slovak Association of Tour Operators and Travel Agents, the Bratislava Hotel Association, LAVEX cableways and ski lifts, the Historical Hotels of Slovakia, the Slovak Association of Rural Tourism and Agro Tourism and the Slovak Tourist Guides Association. 1.4. What is the existing national/regional specific legislation on tourism? (Max. 500 characters) Act No. 91/2010 Coll. on Support of Tourism Act No. 281/2001 Coll. on package tours and conditions for business of tour operators and travel agencies Decree of the Ministry of Economy of the Slovak Republic No. 277/2008 Coll. establishing classification symbols for categorizing and ranking accommodation establishments Act No. 561/2007 Coll. on Investment Aid as amended, entitling the Tourism Section of the Ministry of Transport, Construction and Regional Development of the Slovak Republic to provide investment aid to tourism projects. Decree of the Ministry of Transport, Construction and Regional Development of the Slovak Republic No. 11/2013 Coll. setting a template for investment aid for regional development in tourism, specifying the requirements for the submission of annual reports on the implementation of the investment plan, the final evaluation report and the annual report on the use of investment. SECTION 2 - MEMBER STATE ECONOMIC DATA AND TOURISM BUDGETS This section is intended to provide an overview of the key statistical information about the general tourism economic environment of the Member States. Data marked with green is also collected by Eurostat. Data marked with orange is equally collected by the OECD. The data categories match the templates of these two organisations, therefore data reported to the Commission can be transferred / used when reporting to Eurostat and OECD and vice-versa. The statistical data provided in the tables below shall cover the year 2015 and, if available, 2016. The data collected through these sections will also feed into the future Virtual Tourism Observatory. Please use the Excel templates provided below in order to facilitate coherence and comparability of the data. Please note that you are only requested to fill in data that is available in your country. Please insert "N/A" for those that you are not able to provide. Slovakia_tourism data_2016_040417.xl 3

SECTION 3 NATIONAL TOURISM POLICY AND STRATEGIES Country: SLOVAKIA This section aims at collecting information on the Member States general strategic vision as well as the specific objectives of their tourism policies. 3.1. Please provide information in bullet points on the key mission, main medium and long-term objectives and the main targets of your national tourism policy. (Max. 1500 characters) In its 2016-20 Manifesto, the Government of the Slovak Republic - expressed its intent to increase competitiveness of the sector, while creating new jobs; - will review the possibility of adopting more flexible forms of employment given the seasonal nature of tourism; - will adopt measures to improve coordination between railway and bus transport sectors and operators of tourism resorts on a year-round and seasonal basis; - will assess the possibility of introducing tax reliefs and special incentives for the development of the spa industry in Slovakia. The potential of tourism makes it possible to reduce regional economic and social disparities. It will be necessary to strengthen the development of tourism products with a high value added and higher cost-effectiveness. This includes, for the most part, leisure activities such as rural tourism, winter tourism, and experiential travel. More emphasis will be placed on support to the development of spa industry. 3.2. Do you have a multi-annual national tourism strategy specific / relevant for tourism in place? If yes, please describe in bullet points the main medium and longterm objectives of the strategy as well as who is responsible for its implementation. How is the implementation monitored and how often? (Max. 2000 characters) On 10 July 2013, the Government of the Slovak Republic approved the Tourism Development Strategy until 2020. According to the Strategy, the strategic goal of tourism in Slovakia is to increase the competitiveness of the tourism sector, to make better use of the potential of Slovakia with the aim to balance regional disparities and create new jobs. The strategy focuses on two key areas: the quality of the tourism offer and the presentation and promotion of the Slovak Republic as a tourism destination. Sub-objectives: a) Focus the attention on the innovation of the existing products based on the trends in the demand for tourism; b) Better use of natural, cultural and historical potential of the Slovak Republic by promoting destinations, places, where there is already a steady demand for the key markets; c) Promote destinations with natural and historical potential in lagging regions with high unemployment rate, hence create new jobs. Slovakia in terms of competitiveness in the short term should focus on better tourism capacity utilization and in the long term it should focus on quality which is a major requirement and prerequisite for the tourism development. The Strategy is implemented by MoT in co-operation with other ministries and self-governing regions depending on the particular tasks. 4

The Government instructed MoT to submit information to the Government on the implementation of strategic objectives arising from the Strategy until 29 February 2016 and 31 March 2020. STB has also drawn up a marketing strategy until 2020. 4. TOURISM CHALLENGES, MEASURES AND INITIATIVES This section aims at collecting information on the challenges the Member states and the tourism industry has to deal with as well as the measures put in place to tackle them. 4.1. Please identify the key challenges for the tourism sector in your country and indicate their importance /priority in the table below. CHALLENGES Diversification of the tourism offer Protection of the cultural heritage Protection of the natural heritage ICT and innovation, digitalisation Collaborative economy in the tourism sector Connectivity and transport Employment in tourism improving the perception of the sector as a career opportunity Improving education and skills in tourism Combatting seasonality Demographic changes Improving accessibility of tourism Improving socio-economic data in tourism Economic crisis and recovery Improving investment in the sector Improving the sustainability of tourism offer Combatting climate change Improving the quality of tourism offer Developing responsible tourism practices Competition against other destinations Administrative / regulatory burden, bureaucracy, improvement of the business environment Other, please specify Tourism Destination Management Development IMPORTANCE / PRIORITY HIGH MEDIUM LOW 5

4.2. Please describe briefly the main measures in your country aimed at tackling the key high-priority challenges indicated above. (Max. 2000 characters) The Tourism Section of MoT carried out a study on legislative burden of selected subjects in tourism. The aim was to stimulate legal entrepreneurship in the field of tourism by simplifying and improving the business conditions, especially for small and medium enterprises. The study examined the legislative burden of selected tourism subjects and identified legislation with the largest financial and administrative impact on business in tourism. The findings provided a basic map for activities aimed at the elimination of the legislative burden. The Tourism Section of MoT placed emphasis on the promotion of domestic tourism and carried out a study on macroeconomic impact of the introduction of recreational vouchers on promotion of domestic tourism. The study offered a system tool to promote domestic tourism including a legislative proposal. Since 9 December 2016, an official network of geoparks (3 geoparks Banká Bystrica, Banská Štiavnica, cross-border Slovak-Hungarian Novohrad Nógrád geopark) has been launched in Slovakia. The Tourism Section perceives geoparks as a new and promising product line of sustainable tourism with a potential for the development of domestic tourism and therefore it decided to develop methodological recommendations for the management of geoparks. This document provides comprehensive and specific guidance on essential aspects of the functioning of geoparks. MoT signed in 2016 an agreement on cooperation with the aim to intensify collaboration with the Statistical Office of the Slovak Republic in the field of establishment of Tourism Satellite Account and collection of necessary input data on inbound tourism in Slovakia. MoT supported the Statistical Office in this work also financially. In cooperation with external experts, MoT works on the establishment of the Slovak system of quality of tourism services as a systematic voluntary tool to enhance the quality of services provided in tourism and to increase the competitiveness of this sector. The system aims at providing tourism subjects with methodological and advisory assistance in improving the quality of services, professional knowledge, promoting the regional development and increasing the competitiveness. The tourism subjects involved in the certification have a possibility to obtain an internationally comparable quality mark that is used in relation to customers as an indicator of the quality of services and to employees as a tool of motivation to perform better. The introduction of the system was launched on 15 June 2016. In the field of promotion and presentation of Slovakia as a tourist destination, STB carried out its marketing and promotional activities in neighbouring V4 countries and countries with high market potential. In total, STB participated in 17 tourism fairs in 11 countries in 2016. MoT builds a system of destination management organizations (DMOs) by implementing the Tourism Support Act, whereby local and regional tourism organizations are created on the basis of voluntary public-private partnership, with financial support from the government. Through this act, MoT supports local and regional tourism organizations, which are responsible for the development of tourism and creation and promotion of competitive tourist products within a respective region or defined territory. MoT supported tourism organizations created under the mentioned act in 2016 in creating and selling the tourism products, media campaigns, public relations, issuing promotional materials, building and maintaining tourist infrastructure, participating in domestic and foreign tourism fairs as well. MoT announced in 2016 the fourth edition of the competition devoted to students of secondary vocation schools Top tourist destination of the region. One of the aims of the competition is to strengthen the relationship of students to tourism. 6

4.3. Please identify if any of the above mentioned challenges relate to any legislative measures at EU level, and how. (Max. 1000 characters) 4.4. Please identify and describe any measures implemented in your country to increase tourism flows from other EU Member States and from third countries. (Max. 1000 characters) Marketing and promotional activities of STB carried out in 2016 to increase tourism flows from abroad: - participation in 17 tourism fairs and exhibitions abroad with the aim to promote Slovakia as a tourist destination; - organisation of fam and info trips for foreign journalists and touroperators; - representatives of V4 countries (Czech Republic, Hungary, Poland, Slovakia) signed during their high level meeting in Prague in 2016 a protocol on cooperation in the field of tourism with the aim to increase joint marketing and promotional activities in overseas markets and thus increase tourist flows from distant markets to V4 countries; - within the framework of cooperation of Central European countries (V4 countries) under the slogan Discover Central Europe, STB took part in joint presentations at tourism fairs WTM Latin America in Sao Paolo, ATM in Dubai, ITB Asia in Singapore, where contributed to a common presentation of tourist possibilities of the region of V4 countries; - in order to extend the scope of promotion of Slovakia in overseas markets STB collaborated on organising a roadshow in the countries of former Soviet Union (Kazakhstan, Azerbaijan, Belarus, Georgia), in the cities of the Russian Federation (Nizhny Novgorod - Kazan - Samara Novosibirsk - Irkuts - Ulan Ude); - STB through its representatives also participated in a joint presentation in India (Bombay, Bangalore, New Delhi); - joint promotional campaigns with tour operators in India and China belonged among other activities within V4 cooperation. 4.5. Please describe how promotional measures implemented in your country make use of / capitalise on the promotional campaigns carried out by the Commission (i.e. Ready for Europe, Europe. Wonder is all around, EDEN, low-season tourism campaigns, etc.). (Max. 1000 characters) The Slovak Presidency of the Council of the European Union organised in close cooperation with the European Commission the 15th edition of the European Tourism Forum which was held on 11 October 2016 in Bratislava. The Forum had three thematic sessions focusing on topics of particular importance to the EU tourism sector: A favourable business environment for the competitiveness of the EU tourism sector with a specific focus on taxation, Collaborative economy in the tourism sector, Digital transformation in the EU tourism sector. 7

The event was attended by several high-level representatives. The official opening was followed by a high-level opening debate where ministerial representatives from Lithuania, Bulgaria, Portugal, Poland and Greece exchanged their views on the current challenges in the European tourism sector and the joint promotion of Europe as a tourist destination. About 170 participants from 28 European countries attended the Forum. In addition, Slovakia hosted during its Presidency the European Travel Commission Board of Director Meeting and ETC General Meeting, which took place in Slovakia for the first time. The meetings were held on 23 and 24 November 2016 in Bratislava and provided room for discussing topical issues in the area of tourism, joint marketing activities, marketing plan for the upcoming period, etc. 4.6. Please identify and describe any measures /actions in your country which contribute to maximising the potential of national policies for developing tourism (e.g. ensuring that tourism interests are taken into account in the development of other policies which may have impact on tourism). (Max.1000 characters) MoT promotes tourism as an important contributor to the national economy and informs regularly on tourism statistical data and tourism development in Slovakia, including the impact of tourism on GDP of the country. 4.7. Please identify and describe any measures/actions in your country which contribute to maximising the potential of EU Financial Instruments for developing tourism (e.g. information on main objectives, financing opportunities, training courses, etc.). (Max. 1000 characters) MoT publishes information on EU Financial Instruments for developing tourism on its official website and informs tourism stakeholders about these opportunities. 4.8 Please describe shortly which EU programmes are used the most frequently and for what purposes of tourism development in your country. (Max. 1000 characters) 8

Sustainable and responsible tourism, whether talking about economic, social or environmental sustainability, is a broad concept and may be interpreted in various ways depending on the attributes of a Member State or region. The following questions focus on sustainability and responsibility in tourism as described in the 2007 Commission Communication 2 on an agenda for sustainable and competitive European tourism. 4.9. Sustainable destination: What support is given to strengthen destination management at the national /regional/local level (e.g. supportive policy environment, knowledge networks, training programmes, technological support tools, financial support, promotional activities, etc.)? (Max. 1000 characters) MoT builds a system of destination management organizations (DMOs) by implementing the Tourism Support Act, effective in Slovakia from December 2011, whereby local and regional tourism organizations are created on the basis of voluntary public-private partnership, with financial support from the government. Through this act, MoT supports local and regional tourism organizations, which are responsible for the development of tourism and creation and promotion of competitive tourist products within a respective region or defined territory. The funding of these organizations consists mainly of membership fees and subsidy from the state budget. This financial contribution from the government is provided on regular annual basis in the same amount as is the amount of collected membership fees of particular tourism organization. In 2016, MoT supported financially from the state budget 35 tourism organizations, of which 31 local and 4 regional with amount of almost 4,4 mil. EUR. 4.10. Sustainable businesses: What support is given to strengthen the sustainability and competitiveness of tourism businesses (e.g. supportive policy environment, knowledge networks, orientation of business support services to sustainability, training, financial incentives, promotional activities, etc.)? (Max. 1000 characters) 4.11. Responsible tourism: What support is given to tourists and the tourism industry to promote their responsible practices and choices (e.g. awareness raising, sustainability in education, national marketing and media campaigns, promotion of certification schemes, etc.)? (Max. 1000 characters) In cooperation with external experts, MoT works on the establishment of the Slovak system of quality of tourism services as a systematic voluntary tool to enhance the quality of services provided in tourism and to increase the competitiveness of this sector. The system aims at providing tourism subjects with methodological and advisory assistance in improving the quality of services and professional knowledge, promoting the regional development and increasing the competitiveness. The tourism subjects involved in the certification have a possibility to obtain an internationally comparable quality mark that is used in relation to customers as an indicator of the quality of services and to employees as a tool of motivation to perform better. 2 http://ec.europa.eu/enterprise/sectors/tourism/documents/communications/commission-communication- 2007/index_en.htm 9

4.12. Please describe maximum three of the most significant planned / future tourism measures (legislative or non-legislative) which envisage to impact travellers visiting your country from other Member States or from outside Europe. (Max. 1000 characters) MoT, recognising the importance of the tourism sector, intends to undertake an economic analysis of the spa sector and a draft of legislative changes to optimise the functioning of the sector, which will identify the benefits of the spa industry to the national economy and will map the possibilities of removing barriers to its development. MoT intends to carry out an analytical research of possibilities for using the potential of the Danube River for the tourism development in the regions concerned. 5. ADDITIONAL INFORMATION 5.1. Please describe maximum 3 best practices of tourism measures implemented at national, regional or local level (any type of activity). (Max. 2000 characters) 5.2. Please describe, in a concise manner, in your view, what policy developments / actions / activities would you expect from the Commission's tourism team that would serve better (than the current ones) the EU Member States and the industry. (Max. 2000 characters) THANK YOU 10