Dorita Yiannakou
Deputy Tourism Minister Kostas Koumis spoke openly to Kathimerini about the state of tourism, the handling of the crisis, the external factors affecting the industry, and the outlook for 2027. Tourism’s performance confirms that the crisis was managed correctly, he said, adding that he was troubled by the unfair criticism he received during that period.
— The summer season ultimately ended at better levels than expected. Does this mean the crisis was managed well?
“I was troubled by the excessive and certainly unfair criticism I received while managing the tourism crisis.”
— I think the results now speak for themselves. Given the conditions, and taking seriously into account the circumstances that had developed at the beginning of March, I would say that, yes, our country’s tourism sector recovered and once again demonstrated its resilience.
Within four months, we went from a 17.9% drop in arrivals during the first four months of the year to an overall decline of 7% over the first eight months, following the release of the August figures. We have also exceeded the 2024 performance by 2.2%.
I take it as a given that the year-on-year decline in arrivals will narrow further over the coming months.
As for the handling of the situation by the Deputy Ministry, I should point out that clear written instructions were issued on March 1 concerning the emerging tourism crisis and the steps that had to be taken to limit the losses.
Our priority was to persuade airlines and tour operators not to reduce their programs to Cyprus while sending an optimistic message that the country was, and remains, an entirely safe destination for visitors.
We ultimately achieved this. Within only a few days of the March 1 incident, airline schedules were restored, and the total loss in airline seat capacity for the summer months was limited to 2.6%.
We also took a series of additional measures. We intensified Cyprus’ digital advertising campaign, hosted dozens of journalists and influencers from abroad, and I personally gave dozens of interviews to media outlets in all our main markets.
I would say that all our actions had one clear aim: to send a positive message about Cyprus as a destination. It was a difficult battle, however, because the impact of an unprecedented piece of negative news is always stronger than a series of positive messages.
Looking back, and judging by actual results rather than estimates, we are pleased to see that our measures—and, above all, our overall approach—were correct.
— Did you receive the support you expected from the industry and your Deputy Ministry?
— As I have already mentioned, very clear written instructions on managing the tourism crisis were issued to the department on March 1.
A few days later, after returning from the Berlin tourism fair, I held an internal meeting at the Deputy Ministry and asked my colleagues to approach the situation with a sense of national responsibility. We are the ministry directly responsible for the sector, and the course of tourism affects the daily lives of thousands of people.
It was certainly a difficult period, during which many decisions had to be taken and implemented within tight timeframes and on the basis of estimates.
I would like to take this opportunity to thank those colleagues and members of the industry who showed determination in confronting the crisis and a genuine willingness to cooperate.
The rolling survey conducted by the Cyprus Hotel Association, PASYXE, during March and April was also extremely helpful, as it provided us with real-time information about bookings and cancellations.
— Your assessments, however, were not always the same as those of the industry. Is that correct?
— Look, I think both the industry and I personally anticipated a crisis. Beyond that, everyone made their own assessment of when the situation might return to normal.
I personally began to view matters more optimistically in April, but I continued to believe that Cyprus, as a tourism destination, needed intensive promotion.
A crisis-management plan is in place
— What measures can Cyprus take when a geopolitical crisis affects flights and bookings?
— First, I should say that a crisis-management plan is in place. However, every crisis affecting tourism has its own distinct characteristics.
Making the correct assessment is extremely important. One wrong judgement, or a delay in responding, can be enough to produce undesirable consequences.
When developments are mainly driven by external factors beyond your control, the range of possible solutions is naturally more limited.
In any event, I will not hide the fact that this is an issue that concerns us as a deputy ministry, just as it concerns the industry itself.
We have agreed that we should meet and jointly develop a better crisis-management mechanism. Meetings with representatives of tourism organizations are already being planned to exchange views on this issue, as well as on the action plans for individual markets.
— Were you bothered by speculation that you might be moved from your post?
— Since March 2023, when President Nikos Christodoulides honored me by entrusting me with the tourism portfolio, which is enormously important to the Republic of Cyprus, I have constantly seen my name included in every Cabinet reshuffle scenario.
So, jokingly, I would say that I have learned to live with it.
What did trouble me was the excessive and, I would say, certainly unfair criticism I received during that period over the management of the tourism crisis.
I remember reading in one instance that the Deputy Ministry had been slow to respond. It was also a period that did not lend itself to answering criticism, because managing the crisis and serving the public interest came first.
As you can see, however, we began managing the tourism crisis from the very first day. We simply did not publicize everything we were doing, and I deliberately avoided using the word “crisis.” Pessimism is not compatible with hospitality.
I would also remind you that I was already in Germany on March 1. Within three days, we had met with all Cyprus’ strategic partners and persuaded those who had cancelled part of their flight schedules to restore them.
I also remember being criticised because I remained in Cyprus during the second and third weeks of March instead of travelling continuously for meetings. There is an answer to that.
As I mentioned, I had already met Cyprus’ strategic partners during the first five days of March. After that, my priority was to remain at the Deputy Ministry and lead the response, including decisions on additional measures.
Ultimately, tourism’s own performance provided the answer to that criticism.
— What are the indications for the new year?
— We began planning for 2027 several weeks ago, and I can tell you that the indications are particularly positive.
There is strong interest from tour operators and airlines, and we are pleased to see that several are considering increasing their programs to Cyprus.
The conditions are therefore being created for tourism in 2027 to return to 2025 performance levels.
— Which markets are you targeting, and which forms of tourism will you promote during the new period?
— As a Deputy Ministry, we are seeking, on the one hand, to continuously improve Cyprus’ air connectivity and, on the other, to enrich and diversify the tourism product.
In terms of markets, we aim to protect Cyprus’ traditional sources of visitors, including the United Kingdom, the Nordic countries, Germany, and Switzerland, among others. We are also seeking further growth in markets where we see potential.
Visitor numbers from Poland and Israel have increased significantly in recent years, while we also see the potential for substantial growth in tourism flows from countries such as France and Spain.
Special-interest tourism is a central pillar of the National Tourism Strategy 2035 and a key part of efforts to reduce seasonality.
— The EU is promoting a stricter framework for short-term rentals such as Airbnb to help address the housing crisis. How will you implement it?
— In addition to the specific European regulation, for which the Deputy Ministry has already begun the implementation process, a stricter system of controls is also being promoted through a related bill that we expect to submit to Parliament for approval very soon.
The bill sets specific health and safety requirements that accommodation providers must meet before being entered in the register maintained by the Deputy Ministry.
At the same time, once the European regulation covering self-catering accommodation is implemented, no unlicensed property will be allowed to advertise.
Hospitality demands constant vigilance
— Do you believe Cyprus has fallen behind competing destinations in upgrading its tourism product?
— I would not say so. One reason some people repeatedly return to Cyprus is the good standard of both its public and private infrastructure.
There is certainly room for improvement, but that is always the case in tourism, and needs naturally vary from one region to another.
Through the introduction of incentive schemes, the Deputy Ministry of Tourism has sought both to upgrade the services on offer and improve infrastructure.
Under the second call of the scheme to revitalize mountain, rural, and remote areas, 152 projects have been completed in eligible communities.
A significant number of hotel properties have also been upgraded through the hotel improvement scheme, which was open to establishments based in and operating in rural, mountainous, and remote areas.
There are, of course, other areas that we believe deserve greater attention and improvement, and work on these has already begun.
As I have said many times, hospitality is an extremely dynamic sector in which trends are constantly changing. You must therefore remain continually alert to achieve the best possible results.
— What is the greatest threat facing Cyprus tourism in the coming years?
— Without question, climate change is the greatest challenge facing tourism.
The problem is especially visible during the summer in the Mediterranean region, of which Cyprus is part, and coordinated action is required to address it.
The National Strategy and Action Plan for Adaptation to Climate Change, coordinated by the Ministry of Agriculture, Rural Development and Environment, provides the road map for achieving specific climate targets.
This effort must be collective because it concerns us all.
— What are now the Deputy Ministry of Tourism’s priorities?
— The first priority for 2027 must be a return to very strong performance, particularly by bringing back visitors from markets that declined this year because of recent events.
Beyond that, our responsibility and priority for the coming decade can be nothing other than implementing the National Tourism Strategy 2035.
Put simply, our greatest responsibility is to plan the future of Cyprus tourism for the next decade.
That plan must focus on the rational management of individual destinations, with an emphasis on sustainability, the continuous improvement of services and the use of technological advances.
At the same time, people must remain at the heart of the industry and play the leading role, because excellent hospitality cannot exist without a human touch.
For me personally, investing in the people who work in tourism — and particularly in their knowledge and training — must always remain central to our efforts.
People are the ones who add extra value to the tourism experience, and that is, and will remain, inseparably linked to the Cyprus brand.
