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12° Nicosia,
20 April, 2025
 
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From summer hotspot to all-year hub

Pancyprian Hotel Association President urges innovation and perseverance to keep Cyprus competitive in a fast-changing tourism landscape.

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Cyprus has big dreams, and according to Christos Angelides, General Manager of the Pancyprian Hotel Association (PASYXE), it’s going to take grit, vision, and a lot of teamwork to turn the island into a top-tier, all-year-round destination. But the potential? It’s definitely there.

In an interview with Mr. Angelides, Dorita Yiannakou of Kathimerini found that tourism remains strong, with summer bookings already up by 5–6% compared to last year, one of the best seasons on record. That’s a promising sign, according to Angelides. Interest is growing from new markets like the Middle East, and Poland has been steadily rising, while the German market could be a game-changer.  If Cyprus can attract just a 1–2% increase from Germany, it could mean an extra 100,000–200,000 tourists. Even better? German travelers like to book outside of the peak season, bringing life to hotels in March, April, October, and November.

But Angelides isn’t sugarcoating the challenges. The global trade war could have a domino effect, especially since Cyprus’ top tourism markets are major exporters to the U.S. If economies slow down, middle-class travelers might tighten their belts, and that means fewer vacations abroad.

Meanwhile, costs are climbing, from interest rates to energy bills, which is eating into hotel profits. That’s a big deal because profitability keeps services top-notch, pays staff, and funds all those needed upgrades.

To stay competitive, many hotels are offering early-bird deals, some with discounts of up to 20%. But Angelides warns locals not to wait too long, because foreign travelers often snap up the best rates first.

Hotels aren’t sitting still. Renovations are happening across the island, and new hotel units are opening this year. Still, Angelides wants to see more action in the mountain areas, calling for extra incentives to boost tourism beyond the coast.

And then there’s the elephant in the room, short-term rentals like Airbnbs. Yes, people have a right to use their property, but the rapid growth of these rentals is squeezing the housing market, especially in Limassol, Paphos, and free Famagusta, where affordable homes are vanishing. PASYXE is asking for a study to consider putting a cap on short-term rentals, warning they’ve already chipped away at 20% of potential hotel stays. Add in concerns about licensing, taxes, and health regulations, and Angelides says it’s time to level the playing field.

Water supply is also on the radar. With Cyprus facing water issues, hotels are being encouraged to install mini desalination plants, but Angelides says it’s not that simple. These systems take time, require permits, and use a lot of energy. He’s urging the state to speed up the process and link these systems to renewable energy sources.

And staffing? It’s a serious headache. Finding both skilled and unskilled workers is tough, and if Cyprus really wants to keep tourists coming 12 months a year, it’ll need a solid national strategy that includes workforce development.

Licensing is another sticking point. Shockingly, more than half of the island’s hotels still aren’t officially licensed, often because the system is too complex and scattered across too many agencies. PASYXE is calling for a one-stop shop approach to speed things up without compromising safety. Angelides is confident hotels are operating safely but says it’s time to streamline the process and get everyone properly registered by 2027.

At the heart of it all, Angelides says, is a simple idea: Cyprus can do this. With unity, vision, and a serious push to upgrade and modernize, the island can become a shining example of full-time tourism. And PASYXE is ready to lead that charge. 

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Cyprus  |  tourism

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