2020 Cyprus Country Report

KEY
players
Deputy Ministry of Tourism
www.visitcyprus.com
TourInvest Cyprus
www.tourinvestcyprus.org.cy
Cyprus Sustainable Tourism
Initiative (CSTI)
www.csti-cyprus.org
Cyprus Hotel Association (CHA)
www.cyprushotelassociation.org
Association of Cyprus Tourist
Enterprises (ACTE)
www.acte.com.cy
Association of Cyprus
Travel Agents (ACTA)
www.acta.org.cy
Cyprus Agrotourism Company
www.agrotourism.com.cy
We are going through
tough times,
experiencing drastic
effects compared to other
industries. Consumer
behaviour is changing.
People are cautious about
travelling overseas and
Cyprus is not immune to
this. There is a shift away
from mass tourism and
overcrowded venues,
towards individually
tailored experiences
and slow tourism. Our
mild climate conditions,
outdoor lifestyle, clean
air, high levels of bathing
water purity are ideal for
medical and wellness
tourism, which are
currently on the rise.
Despite the inevitably
large losses in 2020,
we are focused on our
multifaceted strategy and
are optimistic that tourist
arrivals will rebound in
the next couple of years,
positioning the sector
again as the locomotive
of the Cypriot economy.
Savvas Perdios
Deputy Minister
of Tourism
Tourism has been one of Cyprus’ top
economic performers for decades, and
the last five years have been record
breaking in both the number of arrivals
and revenue thanks to reforms and
upgrades. In 2019 the country welcomed
almost 4 million visitors with
total revenue estimated at €2.7 billion,
proving the long-standing appeal of Cyprus as a
top European holiday destination.
Over the last few years, the country has
focused on diversifying its traditional beachholiday
image to show the world it has a lot more
to offer than just the sun and sea. By extending
its season with the aim to welcome tourists all
year round, Cyprus is promoting its mild and
green winters with snow-capped peaks and its
other lesser known attractions such as forests and
mountain regions, its wine country and agritourism,
as well as its many historical and religious
sites. Following global trends, a key part of the
strategy is to develop and refine niche segments
like health and wellness tourism, sports, nautical
and cultural tourism, which all represent more
diversified thematic areas that also foster investment
opportunities in the tourism and hospitality
sector.
As well as growing numbers of visitors,
Cyprus has attracted millions in FDI into tourism-related
projects. World-renowned hotel
chains like Radisson and Sofitel are establishing
themselves on the island, luxurious yacht
marinas are beginning to spring up in every
coastal region, and in 2021 Cyprus will be home
to Europe’s largest integrated casino resort led
by entertainment giant Melco. Income from
tourism accounts for more than 20% directly
and indirectly of the country’s GDP, but according
to latest estimates the sector has the
long-term potential to contribute around 25%
to the country’s economy – making tourism a
key pillar of the economy with vast potential for
further sustainable development.
COVID-19 IMPACT
Though Cyprus had high expectations for its
tourism sector in 2020, its ambitions were cut
short when the dangers surrounding the pandemic
became truly evident. Cyprus acted swiftly,
closing its borders as it prioritised the health of its
citizens. With air traffic a fraction of what it used
to be, the island managed to use its decisiveness
to its favour. Hailed as one of the safest countries
in the world in its handling of the pandemic,
the government felt confident it would reap the
rewards of its tough and fast measures.
By June 2020, when the borders reopened
after almost three months of lockdown, travel
Sector Profile
Country Report CYPRUS 2020
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