Athens, Greece. Greek lenders, including some operating in Cyprus, remain on course for strong growth despite geopolitical tensions in the Middle East and concerns over the tourism season, according to UBS. The bank said resilient tourism trends and continued corporate lending expansion are supporting the sector’s outlook.
UBS assessment
In a recently published analysis shared by Greek business outlet Newmoney, UBS said the impact of regional instability on Greece’s economy and banking sector has so far been limited, based on the latest available tourism and lending data.
Tourism trends
The assessment draws on weekly international arrival figures at Athens International Airport, which UBS uses as a key indicator for the performance of the Greek tourism industry.
According to data available up to June 8, 2026, international arrivals continue to rise on a seasonal basis, although growth has slowed significantly compared with recent years.
Arrivals were up about 1.1 per cent year on year, compared with growth of around 12 per cent in 2025, 19 per cent in 2024, and 23 per cent in 2023.
UBS said the trend has improved compared with April, when international arrivals were down by roughly 8 per cent year on year.
Banking sector outlook
The bank said the figures suggest that concerns surrounding the conflict in the Middle East have not yet translated into a meaningful deterioration in tourism demand.
UBS also highlighted comments made by Greek bank management teams during their second-quarter earnings presentations.
According to the report, executives across the sector have adopted a reassuring tone regarding the impact of developments in the Middle East.
The investment bank said lenders have not identified any negative effects on business loan demand or broader economic activity that could be linked directly to the regional conflict.
