Tourism losses to stay under 12% in 2026 as MPs accuse ministry of inaction

Economy parliamentTourism Tourism losses to stay under 12% in 2026 as MPs accuse ministry of inaction Tourism Losses To Stay Under 12% In 2026 As Mps Accuse Ministry Of Inaction Relevant News FIFA World Cup 2026 – Round of 32 – Mexico vs Ecuador 1 July 2026 Tourism losses to stay under 12% in 2026 as MPs accuse ministry of inaction 1 July 2026 On this day: Scotland opened its first parliament in nearly 300 years in 1999 1 July 2026 Angelos Angelodimou 1 July 2026 FacebookXWhatsAppEmailPrintViber Tourism arrivals losses are not expected to exceed 12 percent for the whole of 2026, Deputy Tourism Minister Costas Koumis estimated on Tuesday. He said arrival numbers would continue to fall until November, but at a significantly smaller rate than the declines recorded in March and April. Koumis said a better picture had already begun emerging from May, with the decline following a downward trend that shows the sector gradually returning to a stable path. He said indications for June show that passenger arrivals, not tourist arrivals, fell 4.3 percent for the period from June 1 to 22, but rose 7.1 percent compared with 2024 and 12.8 percent compared with 2023. The deputy minister attended the parliamentary Energy, Trade, Industry and Tourism Committee for the first time on Tuesday, briefing MPs on tourism’s trajectory. The committee had put the item on the agenda itself, examining “the effects on the domestic tourism industry from the volatile situation in the Middle East and support measures for those affected,” during which Koumis outlined the actions taken to contain the crisis. MPs, industry reps accuse ministry of inaction A number of MPs and representatives of professional organisations present at the session criticised the Deputy Ministry of Tourism, arguing among other things that its response had been delayed, that its actions to halt the crisis were insufficient, and that it had broken promises made to hoteliers over the employment incentive scheme. They also said the ministry had shown indifference to supporting small and medium-sized businesses, which had themselves been significantly hit by the crisis, that it had been slow to approach the EU for permission to support affected tourism businesses, and that it had failed to listen to the concerns of professionals directly involved, with the result, as it was put, that tourism decisions were taken without the tourism bodies themselves present. Crisis management mechanism proposed Beyond the criticism, suggestions were put forward for better crisis management in future, alongside broader observations about developments following the drone incident at the British Sovereign Base Areas on March 1. The main points raised were: A Crisis Management Mechanism should be created so that everyone involved knows how to handle a situation and coordination is improved. It was noted that five crises have affected the sector in recent years, and that this is no longer a rare occurrence, meaning the industry should be fully prepared and coordinated so everyone knows what action to take. Air connectivity needs to be fully restored, particularly now that the sector has entered the height of the summer season. The committee heard that airlines resumed flights to Cyprus some time ago, though some have reduced their schedules. Koumis had previously said Paphos airport had, until recently, seen a rise in air traffic while Larnaca airport had seen a decline. Last-minute bookings, on which the industry relies heavily, have shown some movement, hoteliers and municipal representatives said. However, they added that Egypt and Turkey appear to be taking the largest share of these bookings, prompting calls for the Deputy Ministry to strengthen its advertising campaign and, more importantly, increase its budget to fund an even larger campaign in 2027. Three issues dominate discussion Much of Tuesday’s session was taken up by three main issues, two of which were raised by ALMA movement party MP Irene Charalambides. She raised the question of inaction and a delayed or wrong response from the Deputy Ministry in managing the crisis. Her second point concerned the scheme to support employment in the hotel sector. Charalambides said the government side had essentially decided to reverse what had been agreed with hoteliers, or to create far more convoluted procedures. The third issue that dominated much of the discussion was whether the government’s handling of the crisis, including the presence of frigates and military aircraft, contributed to creating an impression of Cyprus’s involvement in the conflict and heightened a sense of insecurity for the island. Koumis: Crisis managed from day one Responding to the criticism, Koumis rejected the suggestion of inaction, saying that from the very day of the drone incident at the British Sovereign Base Areas, he had given instructions for it to be handled as a tourism crisis, even though the Deputy Ministry never used that term publicly. He added that during his attendance at an international tourism fair in Germany, he held meetings with numerous industry professionals, some of them two or three times, aiming to give the correct picture of Cyprus following the incident. As a result, he said, all airlines announced within a week that they would resume flights to Cyprus. Koumis also addressed claims that the Deputy Ministry had tried to gloss over the situation, rejecting this and noting that March and April had recorded a sharp fall in arrivals and revenue. He said journalists and influencers from abroad had been hosted with the aim of presenting the country’s true picture and reinforcing a sense of safety. EU conditions complicate fund disbursement On the employment incentive scheme, hoteliers said they had already paid staff themselves but had not received reimbursement from the government. Koumis said the scheme had been prepared by the Ministry of Labour, with the Deputy Ministry involved in the process to help with administrative handling and information gathering. He said it later emerged that for the EU to approve the support, Cyprus must provide full accounting and other evidence that a loss had occurred, which is the condition the EU sets before releasing funds. Asked whether new incentives were being considered for coming months, Koumis said no, noting that current estimates point to an improving situation, meaning additional incentives are not expected to be needed. Hoteliers and Charalambides said this amounts to a breach of the original agreement, since additional evidence and proof were requested only after the fact. Charalambides paraphrased the hoteliers’ position that agreements, particularly those backed by Cabinet decisions, must be honoured, since the deal had been for hoteliers to retain staff despite cancellations in order to avoid job losses. She said that in a statement on June 22, signed by the Deputy Ministry’s Deputy Director, the government essentially reversed what had been agreed, or created far more convoluted procedures. Charalambides said she intends to put the matter before the Trade Committee “for a more thorough discussion on the issue.” Subscribe to our Newsletter Latest News FIFA World Cup 2026 – Round of 32 – Mexico vs Ecuador On this day: Scotland opened its first parliament in nearly 300 years in 1999 Two dead after wildfire guts house in northern Greece Environmental groups warn over Lady’s Mile beach breaches Pedestrian, 58, critical after car collision in Orounda New EU customs duty on small parcels takes effect today Cabinet to appoint criminal investigators in Mafia State case tomorrow Follow en.philenews on Google News and be the first to know all the news about Cyprus and the world.