Sveti Stefan is an islet located in the central part of the Adriatic coast of Montenegro and is connected with the mainland by a dike, which is flooded during tides. In the Middle Ages there used to be a settlement in which people made their living out of fishing and pressing olives, struggling to make ends meet. The economy of the island did not change until the 1950’s, when the majority of residents emigrated to the USA in order to improve their financial situation. Then the regional authorities decided to displace the rest of the residents and renovate the fishing houses and set up a luxurious resort there. Today Svety Stefan is called the islet-hotel and is the most expensive holiday resort in Montenegro.
