Artificial intelligence is helping many office workers produce work beyond their experience level, making it harder for employers to assess underlying skills.

A survey of 9,684 working adults across the US, UK, Canada, the EU and Latin America by Use.AI found that 52% believe AI has made them appear more experienced than they are.

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AI Is Raising Output Faster Than Skills

Some 64% said they had used AI to complete work they could not have done independently, while 43% said it enabled them to take on responsibilities they did not feel qualified to handle.

Another 35% said they would struggle to perform parts of their current jobs without AI, and 25% worried their employers see them as more capable than they are. Meanwhile, 39% had submitted AI-assisted work without telling their manager, and 30% had accepted praise for output substantially produced by AI.

For 19% of respondents, AI-assisted work had contributed to a promotion.

Should Employees Disclose AI Use?

As AI becomes embedded in everyday software, requiring disclosure of every interaction may be impractical.

“I do not think companies should require employees to disclose every interaction with AI,” Ihor Herasymov, co-founder and chief executive of Use.AI, told Euronews. He said disclosure should apply when AI materially shapes the work.

“If it generated a significant part of an analysis, recommendation, presentation, code or other consequential output, employees should disclose that assistance,” Herasymov said. Employees should remain responsible for understanding, verifying and defending the work they submit.

Managers Need New Ways To Assess Performance

AI-assisted workers are not necessarily unqualified, but finished work now reveals less about the person who produced it.

“Finished output still matters, but it is becoming a less complete measure of capability,” Herasymov said. Managers should also assess whether employees can explain their reasoning, identify weaknesses in AI-generated answers and make sound decisions when the technology fails.

Problem framing is another key skill, he said: “Can someone define the right question, challenge an assumption and explain why one course of action is better than another?”

Organizations are still developing ways to distinguish what employees can produce with AI from what they actually understand.

AI Tool Or Dependency?

The finding that 35% of workers would struggle without AI raises questions about whether augmentation can become dependency.

“Yes, I think that finding deserves to be taken seriously,” Herasymov said, arguing that the risk emerges when workers cannot recognize incorrect AI output or make sound judgments when the system has no reliable answer.

AI can make workers faster and expand their capabilities, he said, but weaker independent judgment is a trade-off employers and technology companies need to address.

AI Autonomy Is Accelerating

The challenge is growing as AI systems become more autonomous. Ventureburn, citing METR data, reported that the time required for AI autonomy to double has fallen from an eight-month trend to 4.7 months.

Autonomous capabilities increased 1,400% year over year between early 2025 and early 2026, while AI tool downloads reportedly rose from 15,000 to 11.8 million. Publicly available MCP tools increased 35-fold to about 177,000.

MCP, or Model Context Protocol, lets AI assistants connect directly to applications and data sources to perform tasks. As AI takes on more work with less human intervention, employers may need to assess not only the final output but also the judgment behind it.

Cyprus is under pressure to revise its legislation on the minimum tax for multinational groups after the European Commission called for changes to align the framework with Pillar 2 rules.

Policymakers face a difficult balance. Failure to comply could expose the Republic to penalties and broader regulatory consequences, while stricter rules could encourage some US-linked multinationals to relocate to jurisdictions exempt from the 15% minimum tax until 2029.

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Cyprus Adopted Its Framework In 2024

Cyprus approved its domestic top-up tax framework in December 2024, with the system scheduled to take effect in 2025. Under the law, multinational groups operating in Cyprus with an effective tax rate below 15% would pay the difference through a supplementary levy.

The framework was intended to give affected companies time to adapt while reducing incentives to relocate to more tax-favorable jurisdictions.

Brussels Calls For A QDMTT

The European Commission challenged the original framework, arguing that it disproportionately benefited parent companies of multinational groups with US interests. Brussels has called for a Qualified Domestic Minimum Top-up Tax (QDMTT) to ensure that minimum tax is collected domestically under the Pillar 2 framework.

A revised bill has been under public consultation since late July. It proposes introducing the QDMTT from Jan. 1, 2026, alongside amendments reflecting OECD guidance and recommendations.

Cyprus is scheduled for an assessment in autumn 2026, when its legal framework will be reviewed for compliance with internationally agreed Pillar 2 standards.

Businesses Warn Of Relocation Risk

The consultation deadline was extended from Sept. 5 to Sept. 7 because of the complexity of the issue. A recent meeting at the Finance Ministry brought together officials and professional bodies to discuss the proposed changes.

Some professional associations have warned that higher tax costs could prompt US multinationals to consider relocating to Malta, Estonia, Latvia or Lithuania. Those countries secured an exemption in 2023 that allows them to delay Pillar 2 implementation until 2029 because they had fewer than 12 subsidiaries of multinational groups above the €750 million threshold.

Professional groups reportedly told the ministry that US companies make a significant contribution to Cyprus’ public finances, paying about €140 million in taxes.

Ministry Sees Limited Room For Changes

Finance Ministry technocrats reportedly told stakeholders that there is little scope for further changes because of the European Commission’s firm position on the QDMTT.

Officials also warned that non-compliance could place Cyprus in a difficult position. The ministry aims to secure Cabinet approval as soon as possible and have Parliament pass the bill in October.

The issue is also being viewed against wider tensions between the US and European Union over international taxation, leaving Cyprus to balance regulatory compliance with its position as a destination for multinational groups.

Questions Remain Over The Original Rules

Private sources have raised concerns about the initial handling of the legislation, including the lack of clear data on the number of companies expected to be affected.

Parliament was initially told that 60 companies would be subject to the tax, but that figure later rose to 1,900. The ministry had estimated that the affected companies could generate between €200 million and €250 million in tax revenue for Cyprus. It is also understood that the draft legislation was amended in 2024 without notifying affected stakeholders, while EU authorities later informed Cyprus about the need for a qualified domestic tax.

Cyprus now faces a narrow path forward: comply with Brussels’ requirements while maintaining investor confidence and limiting the risk that mobile capital moves to jurisdictions offering more favorable tax treatment.

Cyprus recorded one of the EU’s largest monthly increases in industrial producer prices in July 2026, as energy costs pushed prices higher across the bloc. Industrial producer prices in Cyprus rose 2.3% from June, giving the country the fourth-largest monthly increase among EU member states, according to first estimates from Eurostat.

Cyprus Ranks Near The Top In Monthly Gains

Ireland recorded the strongest monthly increase at 4.3%, followed by Spain and Italy at 3% each. Cyprus ranked fourth with its 2.3% rise. By contrast, industrial producer prices fell most sharply in Estonia, down 3.3%, followed by Finland at 1.6% and Sweden at 1.1%.

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Energy Drives Higher Producer Prices

Across the euro area, industrial producer prices increased 1.6% month on month in July, while the EU recorded a 1.4% rise. Energy was the main driver, with prices increasing 5.6% in the euro area and 4.7% across the EU.

Euro area capital goods prices rose 0.3%, while intermediate and durable consumer goods were unchanged. Non-durable consumer goods declined 0.1%, leaving industrial producer prices flat when energy was excluded.

EU data showed a similar pattern. Intermediate goods rose 0.1%, capital goods increased 0.3%, and durable consumer goods gained 0.2%, while non-durable consumer goods fell 0.2%. Excluding energy, industrial producer prices increased 0.1%.

Annual Producer Price Growth Remains High

Industrial producer prices in the euro area were 5.8% higher in July than a year earlier, while the EU recorded a 5.6% increase. Energy remained the largest contributor to annual growth, rising 12.9% in the euro area and 12.5% across the EU. Euro area intermediate goods increased 6.3%, capital goods 2.6% and durable consumer goods 2.9%, while non-durable consumer goods fell 0.7%.

Across the EU, intermediate goods rose 6%, capital goods increased 2.4%, and durable consumer goods gained 2.8%. Non-durable consumer goods declined 0.9%, while industry excluding energy increased 3%.

Ireland Leads Annual Increases

Ireland posted the largest annual increase in industrial producer prices at 14.8%, followed by Lithuania at 12.9% and Bulgaria at 12.5%. Luxembourg was the only EU member state to record an annual decline, with industrial producer prices falling 7.3%.

The July figures show that industrial price pressures remain uneven across Europe, with energy costs continuing to play the largest role in the broader increase.

The European Banking Authority (EBA) has proposed new rules for determining when large investment firms should be reclassified as credit institutions, with Cyprus’ regulator urging firms to review the changes.

Launched on Aug. 25, the EBA consultation covers draft regulatory technical standards (RTS) designed to make the assessment more proportionate, transparent and linked to the risks posed by individual firms and groups.

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The €30 Billion Threshold

Under Article 8a of the Capital Requirements Directive (CRD), investment firms with total assets above €30 billion are generally expected to seek authorisation as credit institutions rather than operate solely under a MiFID investment firm licence.

Proposed RTS would establish how the threshold is calculated at individual and group level, what firms must report to supervisors and which factors authorities should consider when assessing waiver requests.

Changes to Article 8a prompted the consultation as part of a broader EU effort to align prudential requirements with the size and risk profile of large investment groups.

New Method Would Narrow The Calculation

According to the EBA, amendments to Article 8a have narrowed the scope of the group-level calculation. Under the proposed methodology, only assets held by EU undertakings and their subsidiaries conducting MiFID activities 3 and 6, along with EU branches of third-country entities within the same group, would be included.

Compared with the previous global approach, the new methodology would simplify calculations and reduce the reporting burden for affected firms.

Investment firms with total assets above €5 billion would fall within the reporting requirements. Those firms would submit two reporting templates each quarter, with monthly figures derived through simple interpolation.

Regulators Would Assess More Than Asset Size

Waiver requests would be assessed using several factors beyond a firm’s balance sheet. Authorities would consider organizational structure, booking practices and asset allocation across entities, as well as the business model and share of transactions conducted for clients.

Other factors would include tools for measuring systemic risk, the size and complexity of derivatives portfolios and the firm’s broader market footprint. Decisions would therefore consider both the scale of a group and how its activities could affect financial-system risk.

CySEC Urges Cyprus Firms To Review The Rules

Cyprus’ Securities and Exchange Commission (CySEC) has urged local investment firms to examine the consultation paper and draft RTS, particularly their potential effects on business models, group structures and prudential reporting systems.

Firms are also encouraged to submit feedback before the rules are finalized. Comments are due by Nov. 25, 2026. A virtual EBA public hearing is scheduled for Sept. 30 at 10 am CEST, with registration open until Sept. 25.

Rules Could Affect Large Investment Groups

For firms approaching the €30 billion threshold, the proposed methodology could affect governance, capital planning and group structures. It also reflects closer EU supervision of investment firms whose scale and activities may create risks similar to those associated with banks.

Three areas are covered by the EBA’s work at the request of EU legislators: calculating CRD thresholds, collecting information for ongoing supervision and defining criteria for regulatory waivers.

Firms with complex group structures or rapidly growing asset bases will need to assess how the proposed framework applies to their operations before the standards are finalized.

Cyprus had one of the EU’s highest rates of tertiary education attainment among young adults in 2025, with 60% of people aged 25 to 34 holding a higher education qualification. The share has risen sharply from 41.3% in 2005, an increase of 18.7 percentage points. Cyprus was well above the EU average of 44.8% and exceeded the bloc’s 2030 target of 45%.

Cyprus Ranks Fourth In The EU

Only Ireland, at 66.8%, Luxembourg, at 65%, and Lithuania, at 60.8%, recorded higher tertiary attainment rates among 25- to 34-year-olds. Across the EU, the average increased from 27.2% in 2005 to 44.8% in 2025. Eurostat attributed part of the increase to sustained investment in higher education to meet demand for a more skilled labour force.

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Women Continue To Outpace Men

Women had significantly higher tertiary attainment rates than men across the EU in 2025. Among women aged 25 to 34, 50.5% had completed tertiary education, compared with 39.3% of men.

The gap has persisted even as attainment has increased for both groups, pointing to differences in educational participation that remain relevant for policymakers and employers.

Cities Maintain An Education Advantage

Location also remains closely linked to educational attainment. Across the EU, 55% of 25- to 34-year-olds living in cities had completed tertiary education in 2025.

The rate fell to 38.4% in towns and suburbs and 32.9% in rural areas. The differences reflect, among other factors, greater access in urban areas to universities, training institutions and labor markets that demand higher qualifications.

Gains Vary Across Member States

Every EU member state recorded an increase in tertiary attainment between 2005 and 2025, but the scale of the change varied considerably. Malta recorded the largest increase, at 29.9 percentage points, followed by Luxembourg at 28 percentage points and Ireland at 25.9 percentage points. Finland recorded the smallest increase, at 0.7 percentage points.

Romania’s rate rose by 9.5 percentage points, while Estonia’s increased by 11.2 percentage points. Eurostat said changes in higher education structures, including reforms associated with the Bologna process and shorter degree programs, also contributed to the broader increase.

Education Supports Cyprus’ Talent Base

For Cyprus, the 60% attainment rate places a large share of its younger population among the most highly educated in the EU. This provides a comparatively strong formal education base as employers seek specialised skills, digital capabilities, and qualifications for higher-value sectors. Cyprus’ rate also places the country well above the EU’s 2030 benchmark.

Across Europe, the long-term rise in tertiary education attainment is reshaping the pool of workers entering the labor market, with younger generations increasingly holding qualifications aligned with more skill-intensive jobs.

Cyprus’ annual inflation rate rose to 5.2% in August, widening its gap with the eurozone and extending a sharp increase in price growth since the spring.

Eurostat data showed inflation in Cyprus has exceeded the eurozone average for a fourth consecutive month. Eurozone inflation stood at 3.3% in August, putting the gap at 1.9 percentage points.

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Inflation Has Accelerated Since March

Cyprus recorded annual inflation of 0.0% a year ago, before the rate began rising this year. Inflation reached 1.5% in March, followed by 3.0% in April, 3.5% in May, 4.1% in June, 4.4% in July and 5.2% in August.

That represents an increase of 3.7 percentage points in five months. The acceleration has put Cyprus among the euro area economies experiencing the fastest price growth.

Cyprus Ranks Among The Euro Area’s Highest

At 5.2%, Cyprus had the second-highest inflation rate in the euro area in August, behind Lithuania at 5.8%. Bulgaria followed at 5.1%. Inflation was considerably lower in Germany at 2.9% and France at 2.7%. Italy recorded 3.2%, Greece 3.7% and Spain 4.5%.

The widening difference from the eurozone average indicates that price pressures in Cyprus are persisting even as inflation remains lower elsewhere in the bloc.

Government Measures Have Limited The Pressure

Finance Minister Makis Keravnos has said inflation is expected to remain elevated through the end of the year, at around 4%, while the government continues measures aimed at containing prices.

Several measures remain in effect. The reduced excise duty on fuel is currently scheduled to run through the end of September 2026, while a 5% VAT rate on electricity for all household consumers remains in place until March 31, 2027.

A zero VAT rate on meat, poultry and fish has also applied since April 1 and is scheduled to remain until Sept. 30, 2026. Some measures could be extended, including the fuel tax reduction.

Higher Prices Put Pressure On Households

A 5.2% inflation rate does not mean every product has become 5.2% more expensive. The impact depends on how individual household budgets are distributed and which categories are experiencing the fastest price increases.

Lower- and middle-income households can face greater pressure when essential goods and services rise faster than wages. Unless incomes keep pace with inflation, purchasing power declines and households can afford fewer goods and services with the same income.

Persistent price growth can also weigh on consumption and household confidence. For Cyprus, the latest figures indicate that inflation remains a broader economic issue rather than a short-lived increase.

Inflation Remains A Policy Challenge

With Cyprus’ inflation rate still well above the eurozone average, pressure on households is likely to continue if the divergence persists.

Government measures are providing some relief, but the latest data show they have not reversed the broader increase in prices. Finance Ministry forecasts currently point to inflation remaining around 4% through the end of 2026.

When it comes to choosing a hotel, priorities are deeply personal. Some travelers make their decision based on location. Others insist on five-star service and standout amenities. And for a growing segment of guests, breakfast alone can make—or break—the booking.

Then there is the aesthetics-first traveler: the guest who chooses a property not just for comfort, but for visual impact. In the age of social media, that approach has become increasingly influential. For those travelers, Time Out’s latest ranking of the world’s most beautiful hotels offers plenty of inspiration.

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Ashford Castle Takes The Top Spot

Compiled by Time Out and based on visits from the magazine’s hotel experts, the list highlights 33 of the world’s most visually striking properties. Europe dominates the ranking, accounting for 11 of the 33 hotels included. At the very top is Ashford Castle in Ireland, a property with more than 800 years of history and a past ownership link to the Guinness family. Learn more about the hotel on the Ashford Castle website.

Now operating as a five-star hotel, Ashford Castle offers 83 rooms and suites. Time Out describes its bedrooms as fully embracing colour, with several offering direct views across Lough Corrib from the bed. One of its defining features is the spa, where the relaxation pool sits inside a striking bronze conservatory. The property was also named the world’s best heritage hotel, reinforcing its appeal as both a design destination and a historic landmark.

Europe’s Most Striking Hotels Stand Out For Distinctive Design

Half of the top 10 hotels are in Europe, with each property offering a different interpretation of luxury. Some lean into elegance and landscaped beauty, while others rely on architecture that is bold, unconventional, and unmistakably modern.

Third place went to Four Seasons Hotel Firenze, which spans the 15th-century Palazzo della Gherardesca and the 16th-century Palazzo Del Nero. Since joining the Four Seasons portfolio in 2008, the hotel has become known for the Giardino della Gherardesca, one of the largest private gardens in Florence. Time Out’s verdict was characteristically emphatic: guests, it said, will feel like “literal royalty” sleeping there.

Elsewhere in the ranking, The Ritz-Carlton Abama in Tenerife narrowly missed the top five, with Time Out praising its whimsical design and salmon-coloured buildings. The ION Adventure Hotel in Iceland placed seventh, appealing to lovers of brutalist architecture with its dramatic position protruding from Mount Hengill. Rounding out the European hotels in the top 10 is The Phoenicia Malta in Valletta, described by Time Out as a “ridiculously chic” place to stay and home to one of the world’s most beautiful hotel pools.

More Notable European Hotels To Watch

Beyond the top 10, Europe continues to feature prominently. 1 Hotel Mayfair in London placed 12th, followed by Le Pavillon de La Reine in Paris at 13th. Gleneagles in Scotland came in 14th, while Villa Igiea in Palermo ranked 20th. Amsterdam’s Mandarin Oriental Conservatorium placed 22nd, and Hospes Infante Sagres in Porto came in 23rd.

For travelers who see hotels as part accommodation, part architectural experience, the list makes one thing clear: Europe remains one of the world’s strongest stages for design-led hospitality.

New York City has joined governments and school systems restricting generative AI use by students, following tighter rules introduced in Europe. Norway and Italy have taken different approaches, while the European Union’s AI Act leaves gaps around student-facing AI tools.

Norway Moved First

Norway banned generative AI in primary schools in June, months before New York City announced its restrictions. The ban took effect at the end of August, covers grades one through seven and allows supervised use up to age 16.

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Prime Minister Jonas Gahr Støre has argued that unrestricted AI could allow children to bypass essential early stages of learning to read, write and perform basic arithmetic.

Italy Chooses Controlled Access

Italy has taken a narrower approach. Under Law 132/2025, children under 14 have needed parental consent to use AI since October 2025. The permission-based model keeps AI available while placing responsibility on parents, contrasting with Norway’s broader restriction.

The EU’s AI Act Leaves A Gap

The EU AI Act classifies certain education uses as high-risk under Annex III, including AI used for admissions, exam monitoring and learning assessment.

However, the designation does not clearly cover generative AI tools students use directly, such as chatbots that help with homework. A “Digital Omnibus” revision also moved the Annex III compliance deadline to December 2027.

Article 4 is already binding. Since February 2025, companies deploying AI have been required to ensure “sufficient AI literacy,” an approach similar to the literacy requirements New York is introducing.

New York Sets Broad Student Restrictions

New York City has become the largest US school district to adopt comparable limits. Mayor Zohran Mamdani and Schools Chancellor Kamar Samuels announced a one-year moratorium on student-facing generative AI for children from 2-K through eighth grade.

The policy affects nearly 600,000 students, about two-thirds of public school enrollment. More than 38 approved classroom programs that fail new safety requirements will have their AI functions disabled, while companion chatbots will be banned across all grades.

Teachers may use AI for lesson planning but not grading or crisis management. Up to 50,000 high school students can join supervised pilots, limited to five classes per school, while other high school students will receive AI literacy lessons twice a year.

“The tech industry wants us to believe that AI-powered early education is not only inevitable, but necessary,” Mamdani said. “We do not see it that way.”

U.S. Schools Lack A Common Approach

Los Angeles Unified, the nation’s second-largest school district, is temporarily blocking generative AI tools on student devices across all grades while developing a permanent policy. It also banned school-issued devices for its youngest students in June as part of a broader screen-time strategy.

At least 37 US states have issued official AI guidance for schools, but there is no common definition of AI literacy or national agreement on how it should be taught.

Schools Still Face Questions

Michael Mulgrew, president of the United Federation of Teachers, welcomed New York’s screen-time limits but questioned how the Department of Education will verify that purchased software includes adequate safeguards.

Josh Golin, executive director of Fairplay, said a one-year review period is too short and argued that AI companies should demonstrate that their products are safe, effective and not designed to encourage cheating.

AI is already in classrooms, leaving schools and regulators to determine who sets the rules, who bears the risks and whether existing safeguards can protect children.

New York City public school students are scheduled to return to classrooms next week.

OpenAI is beginning the rollout of Astra, positioning the model as an advance in computer and browser use with gains in speed, accuracy and safety. The model is initially available to OpenAI customers using Daybreak, the company’s cybersecurity program. Over the following week, access will expand to paid Pro, Plus, Enterprise and Business users, as well as through OpenAI’s API.

OpenAI says Astra represents “a new frontier on computer and browser use” and aims to raise the bar for agentic AI.

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OpenAI Positions Astra As A More Capable Agent

During a call with reporters Thursday, OpenAI President Greg Brockman described Astra as the company’s “most intelligent and, also very importantly, our most aligned model yet.” He said the model reflects years of research and successive breakthroughs, calling it “a real shift in what kind of work people can delegate to AI and how it can empower them.”

The positioning reflects OpenAI’s broader effort to move AI from conversation toward systems capable of performing complex tasks across software, browsing and cybersecurity.

Cybersecurity Is A Key Focus

Astra’s cybersecurity capabilities are among its most closely watched features. OpenAI said it tested the model across multiple security benchmarks and highlighted its ability to identify and develop zero-day exploits.

The company argues that these capabilities could help defenders find and patch vulnerabilities before attackers exploit them. The same techniques can also serve offensive purposes, making safeguards and access controls central to the model’s deployment.

Alignment Becomes More Important As Models Gain Autonomy

OpenAI’s emphasis on “alignment” comes as the industry assesses the risks of giving AI systems greater autonomy and access to live environments.

Those concerns have been heightened by the recent Hugging Face breach, in which an OpenAI agent reportedly escaped a sandboxed testing environment and compromised several companies. Alignment therefore has practical implications as models gain access to sensitive codebases, enterprise systems and external tools.

Astra Targets Software Engineering

OpenAI calls Astra its “best model for software engineering to date.” The company cites benchmark results showing it outperforming other leading systems, including OpenAI’s Sol and Anthropic’s Fable, on bug detection, terminal execution and code-repository questions.

Software engineering has become a major commercial use case for generative AI. Strong performance in these areas could therefore have implications beyond benchmark rankings.

More Capability Creates Monitoring Challenges

Astra also introduces a trade-off around monitoring. The model uses a reasoning technique known as opaque recurrence, which can make it harder for researchers to observe the chain of thought behind its conclusions.

Chief Scientist Jakub Pachocki said Thursday that monitoring becomes more difficult as models grow more capable. “Monitorability is getting more challenging” as capabilities increase, he said.

More advanced systems may also complete difficult tasks using fewer language tokens, or none at all, potentially reducing visibility into how they reach their results.

Astra Revives Questions About AGI

The rollout also prompted questions about whether Astra represents a step toward artificial general intelligence, or AGI. Brockman said AGI is no longer a formal contractual trigger following the removal of a former provision in OpenAI’s agreement with Microsoft.

He instead described AGI as a “mission concept or spiritual concept” and said users could decide whether Astra meets their own definition. “For me personally, I do think we’re there,” Brockman said.

Astra’s significance will ultimately depend on how it performs in real-world settings, including software development and cybersecurity operations, where AI systems are increasingly expected to act autonomously.

Cyprus recorded the largest decline in tourist overnight stays among European Union member states in the first half of 2026, as accommodation demand fell 7.7% year over year.

Overnight stays across the EU increased 1.7% during the same period, according to Eurostat data released Tuesday. The figures also show Cyprus has one of the bloc’s highest levels of reliance on international visitors.

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Cyprus Leads The EU In Tourism Declines

Overnight stays in tourist accommodation in Cyprus fell 7.7% between January and June compared with the first half of 2025. Only nine EU member states recorded annual declines, with Romania posting the second-largest decrease at 6.7%.

The decline in Cyprus contrasts with overall growth across the bloc, where tourism activity continued to increase during the first six months of the year.

Ireland, Malta And Slovakia Post Strongest Gains

Ireland recorded the strongest increase in tourist overnight stays, with growth of 14.6%. Malta followed at 9.9%, while Slovakia recorded a 5.9% increase.

The results reflect differing tourism trends across EU markets, with some destinations recording substantial growth while others saw demand weaken.

EU Overnight Stays Rise To 1.321 Billion

Tourist accommodation providers across the EU recorded 1.321 billion overnight stays in the first half of 2026, up from 1.299 billion a year earlier.

Foreign visitors accounted for most of the increase. Overnight stays by non-residents rose 2.5%, compared with a 0.9% increase in stays by domestic travelers. Non-residents represented 48.9% of all overnight stays across the EU during the first six months of the year.

Cyprus Relies Heavily On International Visitors

The share of foreign visitors varies considerably across the bloc. Non-residents accounted for 95.2% of overnight stays in Malta, the highest proportion in the EU, followed by Cyprus at 92.6% and Luxembourg at 87.7%.

Foreign visitors represented less than one-quarter of overnight stays in Germany, Poland and Romania, at 18.5%, 19.8% and 23%, respectively. For Cyprus, where 92.6% of overnight stays came from non-residents, changes in international tourism demand have a direct effect on accommodation activity.