Nicosia, Cyprus. Cyprus’ hotel industry is relying on last-minute bookings to ease the impact of a difficult start to the summer season, with reservations still below expected levels, according to Cyprus Hoteliers Association chairman Thanos Michaelides. A separate 2025 report showed a modest improvement in financial wellbeing in Cyprus, though many households remain under pressure.
Hotels seek recovery through last-minute demand
Speaking on CyBC’s daytime show ‘Apo Mera se Mera’, Michaelides said the sector had come under pressure after developments in March triggered disruption across tourism, leading to mass cancellations and a sharp slowdown in bookings, particularly for hotels.
He said the situation has since improved, with cancellation rates returning to more normal levels and bookings starting to move again at a more satisfactory pace.
Michaelides said the recovery remains fragile, adding that reservations are still lower than they should have been for this point in the season.
Financial wellbeing index records modest improvement
The Financial Wellbeing Institute on Monday released its Financial Wellbeing Index report for 2025, showing a modest improvement in the financial health of the population.
The index reached 54.6 points this year, an increase of about four points compared with the findings in 2024.
Many households remain under pressure
Despite the improvement, the data showed that four in ten Cypriots, or about 38.4 per cent of the population, remain in the two lowest categories of financial wellbeing.
The findings, presented by Financial Wellbeing Institute president Panayiotis C. Andreou, classify citizens into five distinct profiles ranging from the most vulnerable to the most thriving.
According to the report, 15.4 per cent of the population is classified as financially vulnerable, while 23.0 per cent is described as financially struggling.