CYPRUS: Despite snags, tourism set for another record-breaking year

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The Cyprus Tourism Organisation is optimistic that this year’s tourist season will break more records with an expected increase of 5-7% on 2018 arrivals, despite the dip from second largest market Russia.


CTO chairman Angelos Loizou told website Stockwatch that despite problems faced during the season, Cyprus had a healthy increase in tourist arrivals of 9.6% in July, while the global trend stood at 3%.

For the seven months to July arrivals of tourists reached 2,184,775 compared to 1,994,236 in the same period of 2017, it is the highest number arrivals ever recorded in Cyprus during the first seven months of the year.

July alone saw some 8,000 more tourists visiting the island compared to July 2017, recording an increase of 1.6%.

Hoteliers predict that the annual increase in tourists will be lower than the CTO predicts at 3% for 2018 as arrivals edge toward the four-million benchmark.

On claims that although arrivals are increasing, hotel bookings have dropped, Loizou said the CTO “is focusing on how to maintain the number of tourists we have, and not how to increase numbers without having first upgraded our tourist product and strengthening infrastructure”.

He said that tourist flows are increasing in the Paphos and Famagusta regions, the two most popular resort areas, compared to previous months.

Meanwhile Paphos hoteliers are satisfied as despite a decrease in occupancy figures in June and July, the numbers picked up in August.

According to Cyprus Hotels Association (PASYXE) Paphos branch president, Thanos Michaelides, the decrease in numbers is due to the fact that the gap created by the decrease in arrivals from Russia and Britain had not been filled by other markets.

Hoteliers in Paphos had expressed concerns over the significant drop in the number of tourists arriving from Russia earlier in the year.

Michaelides added that, that figures are looking good for the months of September and October, as they expect to have a capacity rate of 90%.

He also raised concerns over the profitability of the winter season, as prices of holiday packages have been kept low to attract more tourists, adding that a number of hotels in the area will opt to close for renovations instead.

Famagusta counterpart Doros Takas said that the tourist flow in August was satisfactory but lower than last year. He added that Famagusta hoteliers are optimistic that figures will pick up, as the number of bookings for September and October are encouraging.

“Based on bookings so far, October will be a good month for Famagusta,” said Takas who believes that the 5% drop in tourists from Russia has negatively affected the region famous for its beaches in Protaras and Ayia Napa.

Takas said that a vast majority of hotels in the region are set to close during the winter period as “travel agencies regard the area as a strictly summer destination, while charter flights are also put on ice”.

Despite hoteliers’ complaints, 2019 will see the opening of at least seven new hotels; the Amara Boutique Hotel and Parklane Hotel in Limassol, Chrysomare and the Nissi Blu hotels in Ayia Napa, the Eve Mare and Infinity hotels in Paphos and the Solari in Polis Chrysochous.

Income from tourism now accounts for about 15% of the country’s gross domestic product and is credited with underpinning a quick recovery.

A record 3.65 million tourists enjoyed a Cyprus holiday last year, spending an unprecedented €2.6 bln.