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Cyprus And Israel Forge Strategic Tourism Partnership For Winter Growth

Cyprus and Israel have solidified their tourism partnership amid high-level discussions held in Israel during the International Tourism Fair IMTM. Deputy Minister of Tourism Kostas Koumis met with Tourism Minister Haim Katz to explore avenues for expanding visitor arrivals and deepening bilateral cooperation in the travel sector.

Expanding Tourism Horizons

During the visit, Koumis presented plans to further support winter arrivals and promote niche tourism segments. Meetings with industry partners highlighted the continued importance of the Israeli market, which remains one of the key contributors to Cyprus’ tourism performance.

Impressive Growth Metrics

The figures reflect this momentum. In 2025, arrivals from Israel exceeded 588,000 visitors, making Israel the second-largest tourism market for Cyprus after the United Kingdom. This represents a 38.4% increase compared to 2024 and more than 112% growth over the past three years.

Average visitor spending also rose to €682 per trip, up 2.9% year-on-year and 13.4% over three years, highlighting the tangible economic contribution of Israeli tourism to Cyprus.

Strengthening Strategic Ties

Koumis noted that the Israeli market remains a priority due to its rapid development and strong potential for diversification. Talks focused not only on short-term opportunities but also on long-term cooperation, particularly in winter tourism and special interest travel. The aim is to maintain steady growth and reduce seasonality in arrivals.

High-Profile Engagements

The visit also included meetings with prominent figures, among them the Patriarch of Jerusalem Theophilos, as well as several media appearances. These engagements underscored both the diplomatic and cultural dimension of the trip, reinforcing broader ties beyond tourism alone.

MENA Venture Capital Stable As International Investor Activity Shifts

A Data-Led Analysis Of Investor Behavior In A War-Affected Region

Venture capital activity in the Middle East and North Africa remained relatively stable one month after the escalation of regional conflict. Early data, however, indicate changes in investor behavior rather than immediate shifts in funding totals. Initial signals are visible in investor participation, capital allocation, and deal pipeline activity.

Venture Markets And The Lag In Response

Funding announcements reflect decisions made months earlier, meaning that today’s figures do not capture the full impact of current events. Investors typically adjust strategies gradually, signaling future shifts long before they are immediately visible in total funding numbers.

International Capital As The Key Pressure Indicator

Participation of international investors remains a key indicator across the MENA venture market. Global capital has historically accounted for a significant share of funding in the region. Following global interest rate increases, international participation declined through 2023. This shift was reflected in lower cross-border deal activity, more cautious capital deployment, and longer fundraising timelines.

Implications For The Broader Startup Ecosystem

Changes in international investor activity affect multiple parts of the startup ecosystem. A recovery in participation was recorded in 2024 and continued into 2025, supporting funding activity and cross-border investment. If uncertainty persists, potential effects include slower investment decisions, reduced cross-border engagement, and extended fundraising cycles. International capital also plays a role in supporting larger funding rounds and access to global networks.

Next Steps For Stakeholders

International capital represents one of several factors shaping venture activity in the region. Its movement often precedes changes in late-stage funding, startup formation, and exit activity. Investors, policymakers, and ecosystem participants rely on data and scenario analysis to assess these trends and adjust strategies.

For A Deeper Insight

Further analysis on venture activity, capital flows, and geopolitical impact across the region is available in the full MAGNiTT report.

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