Around one third of self-catering accommodations advertised on platforms such as Airbnb are illegal, as they remain unregistered with the Ministry of Tourism.
Data presented to the Parliamentary Committee on Commerce indicates that, out of 8,248 registered properties, many continue to go unlisted, while the Ministry has only filed 14 reports against illegal operators.
Despite efforts to promote compliance, challenges persist. The number of legally registered properties has risen significantly, from 2,343 in late 2022 to 8,248 by 2025. However, the Ministry faces difficulties in enforcing regulations due to inadequate legal tools. Furthermore, a backlog of pending applications remains a concern, with over 1,200 properties still awaiting approval due to incomplete documentation.
In response, the Ministry is considering introducing restrictions on the number of properties an individual can register. Additionally, a new bill is in development to address gaps in the existing regulatory framework. However, industry representatives, including the Self-Catering Accommodations Association, have raised concerns that the continued rise in unregistered properties – particularly during peak tourist seasons – creates unfair competition for legitimate operators. Many legal businesses argue that such unregulated accommodations enable tax evasion, reducing government revenue and distorting the market.
Consumer protection has also been highlighted as a pressing issue. Reports have surfaced regarding misleading listings, substandard accommodation, and even non-existent properties being rented out. The Consumers’ Association has received numerous complaints related to fraudulent practices, with customers facing financial losses and disrupted travel plans. These concerns have led to increased pressure on the Ministry to implement stricter monitoring and enforcement measures.
Despite these challenges, the Ministry remains optimistic about the continued growth of the tourism sector in 2025, with projections indicating record-breaking visitor numbers and revenue. However, calls for stronger oversight are mounting. Members of the Parliamentary Committee have urged the Audit Service to conduct a thorough investigation into the scale of illegal rentals, arguing that the lack of regular inspections has exacerbated the problem.
As the short-term rental market continues to expand, authorities face the challenge of balancing the benefits of tourism with the need for regulation. While stricter measures are under consideration, effective enforcement will be essential to ensure fair competition, protect consumers, and prevent tax evasion. The coming years will likely determine whether these efforts lead to meaningful change or if the issue of illegal rentals continues to persist.
