Nicosia, Cyprus. The Cyprus Chamber of Commerce and Industry (Keve) warned on Wednesday that the escalating war crisis in the wider region is beginning to weigh on the Cypriot economy, with tourism among the first sectors affected.
Tourism indicators show early impact
Keve said Cyprus’ hotel and tourism industry is being directly affected by geopolitical developments, pointing to reservation cancellations, a slowdown in new bookings and growing uncertainty in international markets. It said these trends are raising concern about the course of this year’s tourist season.
Broader economic effects highlighted
The chamber said tourism remains one of the most important pillars of the Cypriot economy, supporting thousands of businesses and employees, as well as the wider chain linked to hospitality, services, trade and transport. It added that any fallout would not be limited to hotels and could affect economic activity more broadly across the country.
Calls for state monitoring and possible support
Keve said it is imperative for the state to act immediately and closely monitor the situation. If the crisis continues and its effects deepen, it said targeted support measures for the hotel and wider tourism sector should be considered without delay to safeguard business viability and protect jobs.
Push for market promotion and sector stabilisation
The chamber said efforts to promote and support Cyprus’ tourism product in international markets should be stepped up, and that all available policy tools should be used to help stabilise the sector during what it described as a particularly critical period.
Ongoing engagement with relevant bodies
Keve said it will continue to follow developments closely and work with relevant bodies to ensure the Cypriot economy, and tourism in particular, receives the support needed to address challenges arising from international developments.
How do you expect the current regional crisis to affect your travel plans to Cyprus this year?