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Cyprus' mountain resorts are seeing a business boom, thanks to a government-backed subsidy scheme aimed at upgrading hotels and tourist accommodations. The goal is to modernize the island’s mountain areas and make them more competitive for tourism, drawing in both local and international visitors year-round.
According to Kathimerini's Dorita Yiannakou, one area really benefiting from this trend is Platres, a village in the Limassol district. There’s a lot of excitement as new hotels are being built and existing ones are undergoing major renovations. This is part of a wider effort to breathe new life into Cyprus’ mountain resorts. Many of these changes are happening with the help of a government sponsorship program, which offers financial support to businesses in rural and mountainous areas.
In the first round of the sponsorship program, which wrapped up in December 2023, the Limassol district received the lion’s share of the funds.
The sponsorship scheme, which is run by the Ministry of Tourism, aims to improve the quality of tourism services and modernize facilities. The idea is to attract visitors all year long and make these areas stand out by offering unique experiences. The program has already had a noticeable impact, with a focus on upgrades that include energy-efficient renovations, the creation of wellness centers, and the addition of sports facilities or conference rooms. By offering up to 85% funding, the government is helping local businesses stay competitive and improve their services.
In the first round of the sponsorship program, which wrapped up in December 2023, the Limassol district received the lion’s share of the funds. A total of 23 applications were submitted, with 15 being approved for grants totaling around €2.1 million. The program’s success in Limassol is especially significant, given that Platres and nearby areas are seeing a flurry of hotel renovations. One of the highlights is the New Helvetia Hotel in Platres, which is getting a major facelift while preserving its historic charm. The hotel is in a beautiful forested area and is even listed as part of the EU’s heritage list.
The government’s plan for the mountain resorts is about more than just improving hotels. It’s about making the entire region more attractive for all kinds of tourists, with a goal of boosting the local economy. By improving infrastructure, adding new tourism services, and making existing services more modern, Cyprus is hoping to create year-round destinations that appeal to a wider variety of travelers.
And there’s more to come. A second round of the sponsorship program was announced in January 2025, with a budget of €3 million for the period 2025-2026. This round will also support hotel upgrades in mountain areas, with businesses able to apply for funding of up to 85%. The focus will be on improving facilities and services in four regions, including remote and rural areas, with the ultimate goal of enhancing the quality and competitiveness of the tourism sector.
New hotel developments are also on the horizon, such as the Tree Hotel in Pano Platres, which will offer 134 guest accommodations. Other renovations are underway at popular spots like the Penteli and Splendid Hotels, and the historic Berengaria Hotel in Prodromos is also getting a major overhaul, with plans to reopen by 2027.
With these investments and improvements, the government hopes to make Cyprus’ mountain resorts a key part of the island’s tourism offering. By creating more modern, appealing destinations, the mountain areas are set to become year-round hotspots for tourists and locals alike.
