Hoteliers in the free Famagusta district and Larnaca are expressing growing concern over a sharp slowdown in hotel bookings ahead of the upcoming tourist season. Both regions have seen a noticeable decline in new reservations in recent weeks, largely attributed to the ongoing war in the Middle East. The trend is raising concern not only among hotel operators but across the wider tourism-linked business sector. At the same time, cancellations are continuing, even as most tourist accommodation in Ayia Napa and Protaras prepares to reopen by late March or early April.
Cancellations concentrated in spring months
The president of the Famagusta branch of the Cyprus Hotel Association (PASYXE), Panayiotis Constantinou, said that cancellations so far mainly concern April and May bookings, originating from various European markets. Only limited cancellations have been recorded for the summer months. However, he stressed that the main issue is the reduced flow of new bookings, at a time when most hotels are preparing to resume operations.
Call for state support
PASYXE Famagusta is calling for targeted state support for hotel operators reopening their units. Specifically, it is requesting an extension of unemployment benefits for hotel employees until the end of April, as many are unlikely to be immediately rehired due to low occupancy levels at the start of the season.
The tourism industry in Larnaca is experiencing similar pressures, with the ongoing conflict prolonging a climate of uncertainty. According to local hoteliers’ association president Marios Polyviou, cancellations in the city and district are currently reaching around 35%, while the flow of new bookings stands at just one tenth of last year’s levels for the same period. Cancellations are mainly affecting April, with no significant impact yet on summer bookings.
Israeli market absence weighs heavily
Polyviou noted that the slowdown in new bookings is the most concerning development, particularly for Larnaca, where the Israeli market has historically been one of the most important. At times, Israeli visitors have been the leading source of tourism for the city.
He described the current situation as “still manageable”, noting that similar trends are observed across other Mediterranean destinations such as Spain, Greece and Turkey. This suggests that travellers are holding back more broadly, waiting for developments in the Middle East before making decisions.
Hopes for recovery linked to flight resumption
Polyviou added that there are indications flights from Tel Aviv’s Ben Gurion Airport to Cyprus could resume by the end of April.
“If this is confirmed and Israeli visitors begin returning, we hope there will be a gradual return to more normal conditions,” he said.