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Cyprus Aims For Sustainable, Year-Round Tourism Growth

Cyprus is strengthening its position as a high-quality, year-round tourist destination by balancing sustainability, economic growth, and environmental responsibility, according to Akis Vavlitis, president of the Association of Cyprus Tourist Enterprises (Stek).

Speaking at Stek’s annual general assembly, Vavlitis underscored the resilience of the tourism sector and its significant contributions to local communities, employment, and businesses.

Record-Breaking Tourism Figures With Emerging Challenges

Despite geopolitical tensions, Cyprus welcomed a record 4.04 million visitors in 2024, with tourism revenue expected to reach €3.2 billion—accounting for approximately 13% of the country’s GDP. However, Vavlitis highlighted concerns about visitor accommodation trends. Around 35% of tourists—roughly 1.4 million people—chose unregistered short-term rentals or even stayed in the Turkish-occupied north, bypassing licensed hotels.

Additionally, the average length of stay has declined from 10.7 days in 2014 to 8.6 days in 2024—a significant 24% drop.

Diversifying Tourist Markets

In 2024, visitors from the UK accounted for 35% of inbound tourism, while Israel represented only 10% —highlighting the need for market diversification. Vavlitis advocated for targeted strategies to attract high-spending tourists from regions like Saudi Arabia and India to reduce reliance on traditional European markets.

Addressing Tourism Seasonality

A major structural challenge remains seasonality, with winter months accounting for just 16%  of total visitors and 12% of tourism revenue. To counter this, Vavlitis proposed a sector-wide study to identify and develop winter tourism products tailored to niche visitor segments.

Labor Shortages And Infrastructure Gaps

Labor shortages in the hospitality sector were another key issue discussed. With Cyprus’ tourism and hospitality industries expanding rapidly, Vavlitis stressed the importance of hiring workers from third countries to bridge employment gaps. He welcomed the government’s digitalization of foreign worker recruitment processes, which aims to streamline hiring and reduce bureaucratic obstacles.

Regulating Short-Term Rentals And Sustainable Development

Vavlitis also called for a robust regulatory framework to ensure safety and fair competition in the short-term rental market. He urged the government to introduce clear operational guidelines for these accommodations while promoting a strategic spatial planning approach to protect environmentally sensitive areas.

With a clear vision and proactive strategies, Cyprus is poised to enhance its reputation as a resilient, sustainable, and high-quality tourist destination.

EU Moderates Emissions While Sustaining Economic Momentum

The European Union witnessed a modest decline in greenhouse gas emissions in the second quarter of 2025, as reported by Eurostat. Emissions across the EU registered at 772 million tonnes of CO₂-equivalents, marking a 0.4 percent reduction from 775 million tonnes in the same period of 2024. Concurrently, the EU’s gross domestic product rose by 1.3 percent, reinforcing the ongoing decoupling between economic growth and environmental impact.

Sector-By-Sector Performance

Within the broader statistics on emissions by economic activity, the energy sector—specifically electricity, gas, steam, and air conditioning supply—experienced the most significant drop, declining by 2.9 percent. In comparison, the manufacturing sector and transportation and storage both achieved a 0.4 percent reduction. However, household emissions bucked the trend, increasing by 1.0 percent over the same period.

National Highlights And Notable Exceptions

Among EU member states, 12 reported a reduction in emissions, while 14 saw increases, and Estonia’s figures remained static. Notably, Slovenia, the Netherlands, and Finland recorded the most pronounced declines at 8.6 percent, 5.9 percent, and 4.2 percent respectively. Of the 12 countries reducing emissions, three—Finland, Germany, and Luxembourg—also experienced a contraction in GDP growth.

Dual Achievement: Environmental And Economic Goals

In an encouraging development, nine member states, including Cyprus, managed to lower their emissions while maintaining economic expansion. This dual achievement—reducing environmental impact while fostering economic activity—is a trend that has increasingly influenced EU climate policies. Other nations that successfully balanced these outcomes include Austria, Denmark, France, Italy, the Netherlands, Romania, Slovenia, and Sweden.

Conclusion

As the EU continues to navigate its climate commitments, these quarterly insights underscore a gradual yet significant shift toward balancing emissions reductions with robust economic growth. The evolving landscape highlights the critical need for sustainable strategies that not only mitigate environmental risks but also invigorate economic resilience.

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