The tourism industry in Cyprus is cautiously optimistic about the coming months. Although hotel bookings have recently improved again after the effects of the Middle East crisis, the sector still expects average losses of around 20 percent for the current season.

This is pointed out by Christos Angelides, President of the Cyprus Hotel Managers Association. The wave of cancellations that weighed on the market in the past two to three months has now subsided significantly. At the same time, a gradual recovery can be seen both in short-term bookings and in reservations for the rest of the season.

Despite the positive development, the current booking volume is not yet sufficient to fully compensate for the losses so far or to ensure an economically successful tourism year, Angelides told the Cyprus News Agency (CNA).

In order to counteract the negative trend, hotels and tourism companies are increasingly relying on attractive price offers and targeted advertising campaigns. Some of the measures are deliberately aimed at the domestic market, as the costs of foreign travel have increased significantly in many popular holiday countries.

"Destinations that used to be cheaper than Cyprus are often no longer so," Angelides explained. Although the desire of many Cypriots to travel abroad remains, the economic situation is forcing more and more families to consider their vacation plans more carefully.

Additional challenges arise from flight cancellations and changes to various flight connections. According to the Hotel Managers' Association, these developments are mainly related to the increased kerosene prices.

However, Angelides is optimistic that an easing of the political situation in the Middle East could lead to falling fuel costs and cheaper airline tickets. This would benefit the autumn and possibly also the winter season in particular.

Israeli market remains an important beacon of hope. After tourism from Israel had almost completely collapsed for several months as a result of regional tensions, there are now signs of a significant recovery.

According to Angelides, daily arrivals are increasing again. Even short stays of only two or three days would help to stabilize the occupancy rate of the hotels and the entire tourism industry.

In addition, last-minute bookings are becoming increasingly important. According to the industry, they could help to further revive the season in the coming months.

At the same time, Angelides warned against cutting back on the quality of the offer due to economic challenges. The high quality of service and the positive image of Cyprus as an attractive and safe destination should not be jeopardized under any circumstances.

According to him, the industry is currently facing two central tasks: On the one hand, the decline in hotel occupancy in the months of March, April and May must be compensated, and on the other hand, Cyprus' reputation as a high-quality holiday destination, which has been built up over the years, must be secured in the long term.

In order to further strengthen competitiveness, the Hotel Managers' Association is calling for a long-term international marketing offensive. A comprehensive advertising campaign until the end of 2027 is intended to help further consolidate the trust of foreign holidaymakers and to dispel possible security concerns related to regional conflicts.

According to the industry, the coming months will be decisive in determining whether the current recovery is sufficient to at least partially compensate for the economic losses of the year so far.






Source: News / Tourismus Government CY