The name of Cyprus was involved in the military conflicts in the Middle East after the downing of a drone at the British Bases, an event that was widely covered by the media around the world. And this is because it was a blow to an EU member state.
The event dealt a huge blow to a key cog in the Cypriot economy, since significant reductions in tourist arrivals are recorded, resulting in a decrease in the revenues of the entire tourism chain. And this includes, among others, hotels, catering, transport, travel agencies, and even retail.
Given that tourism is a locomotive of the Cypriot economy, those involved in the sector call on the Government, in addition to the measures it has taken or will take in the near future, to turn to the EU for help.
Indicatively, an announcement by the Federation of Hotel, Food and Leisure Center Employees (OUXKA – SEK) emphasizes that the Government must move without delay and immediately apply to the European Support Fund, with the aim of securing financial support to strengthen the tourism sector and safeguard jobs, preventing possible negative developments.
A similar request had been made by the hoteliers' associations, on the grounds that our country was in no way involved in the military conflicts in the Middle East, however it is called upon to pay a heavy price due to an incident that was not directly related to Cyprus.
In addition to the above, OUXEKA – SEK stressed the need to extend the period of implementation of the support measures, with an emphasis on the subsidy of labour for the months of May and June, in order to protect workers and support businesses in the sector, where there is a documented need. The prolonged uncertainty, the union continues, may directly jeopardize both the viability of businesses and the safeguarding of jobs in the coming months.
It is recalled that based on the data so far, pre-bookings for the summer show a decrease of more than 30% compared to the corresponding period last year, which is certainly a cause for concern. In this regard, hotel occupancy rates during this period are on average around 40%, while in the same period last year, there were cases that reached 80%. The first bell has already sounded with the results of March arrivals, which fell by more than 30% compared to the same month last year.
According to the Statistical Service, in March 2026, after the start of the war in Iran on February 28, tourist arrivals in Cyprus decreased by 61,538 and fell to 139,198 compared to 200,736 in March 2025, marking a large plunge of 30.7%.
