Filenews 22 October 2025 - by Angelos Angelodimou
In the middle of the list of the Top20 most popular island destinations worldwide is Cyprus, in terms of tourist arrivals. Our country managed to be included in this list, along with large and emblematic islands around the world, such as Bali and Hawaii. Cyprus is in 10th place in the Top20, according to data announced by the National Bank of Greece and presented in an article by "Oikonomikos Tachydromos".
In particular, Mallorca is in first place, with a considerable difference compared to the second Phuket, while Hawaii closes the top three. The rest of the places are followed by Bali, Tenerife, Crete, Sicily, Ibiza, the Canary Islands and Cyprus in 10th place.
In the second half of the table, three Greek islands (Rhodes, Corfu and Kos) are included, while the famous Bahamas are in last place in the table with the 20 island destinations.
Investing in infrastructure
In addition to the above, an important issue analyzed by the new study by the Economic Analysis Division of the National Bank of Greece is that of investing in the infrastructure of an island destination, with the aim of maintaining its attractiveness, but at the same time its competitiveness.
Characteristically, referring to the case of Greece, the NBG report points out that at a time when the country remains – despite intense competitive pressures – at the top of the world tourism map, it is called upon, with its islands receiving almost half of its foreign visitors, being called upon to face the most critical challenge: maintaining its attractiveness through modern, sustainable and resilient infrastructure.
According to the NBG study, investment needs on the Greek islands are estimated at €35 billion. over a decade, with the aim of upgrading critical sectors such as transport, energy, water and waste management.
The return on investment
More specifically, according to estimates, in order for the island economies to respond to the increased needs, the current annual investments – amounting to approximately €2 billion. and mainly concern transport projects and basic infrastructure (such as energy and water) – to addition: (i) approximately €1 billion. annually to cover the seasonal increase of the population by 50% and (ii) another €0.5 billion to deal with the additional "island burden" estimated at about 15%.
In total, the required investment effort amounts to approximately €3.5 billion. annually or €35 billion. by 2035 – a prerequisite for absorbing the growing demand (without breaking the carrying capacity) and strengthening the productive base of island economies.
The result of this investment strategy is measurable: Over a decade, tourism receipts can increase by 45% (+€5 billion) and GDP can be boosted by €24 billion. to around €30 billion, with significant multiplier effects on employment and exports. Thus, Greece can consolidate its presence at the top of global island tourism and turn growing demand into long-term growth power. This is the real stake of the next decade: not the number of arrivals, but the ability of Greece – and above all its islands – to manage their success and turn it into a sustainable asset.
As it is understood, the above conclusions of the NBG study can also be used by the competent bodies of Cypriot tourism. Being an island destination, significant investments are needed both in infrastructure and in the renewal of our residential-hotel stock, in order to maintain the competitiveness of our country.
As it is aptly pointed out, now the real stake of the next decade is not the number of arrivals, but the strengthening of revenues and at the same time the proper management of success.
