The Czech Republic is expecting tourist numbers to increase to around 6.7 million over the next 12 months, according to the Czech Tourism agency.

Since joining the European Union in 2004, the country has seen a strong growth in overseas interest following the expansion of low-cost flights to the region from a number of budget airline carriers.

This rise in tourists to the country is also likely to boost spending, which is expected to rise to in 2007 and could further support the Czech Republic's economic growth levels. Therefore, the Czech Tourism agency is keen to ensure that foreign tourists increase their spending levels, reports the Prague Daily Monitor.

Chief executive of Czech Tourism, Rostislav Vondruska, explained: "We do not necessarily need more tourists, but we will try to attract tourists who spend more."

Such plans to attract affluent visitors include the development of spa resorts and promoting the country's strong cultural attractions.

Overseas property investors could also benefit from this tourism boom, especially as demand for high-quality holiday accommodation could rise significantly over the coming years as the sector matures.

Recent reforms by the Czech authorities have helped to encourage more foreign direct investment, with favourable tax legislation as well as changes to property legislation making it more beneficial for overseas real estate buyers to enter the local market at the moment.

There is also a wide choice of property available in the region ranging from luxury offplan projects in the heart of Prague to historic properties in more rural locations.