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Free Famagusta Tourism Set To End Season Down 10% As Industry Looks To 2027 For Recovery

A Season That Began Under Pressure

The tourism season in the free area of Famagusta is expected to close with losses of about 10% compared with 2025, a record year for the district’s hotel sector. Ayia Napa and Protaras started the spring with very low occupancy rates in March, as conflict in the Middle East weighed on travel demand and disrupted booking patterns.

Conditions improved as the season progressed. By August, occupancy was only marginally below last year’s level, while September returned to similar performance. “In August, we recorded occupancy of around 90%, slightly below 2025. Given the circumstances, we are satisfied, because the situation could have been worse,” said Panayiotis Constantinou, president of PASYXE Famagusta. He added that state support in April and May also helped offset the early-season downturn.

A More Resilient Summer Than Expected

Despite the weaker start, the district’s hotel market remained active through the summer months. According to Constantinou, most properties are currently operating at occupancy levels of 80% to 90%, reflecting solid demand from key European markets.

The main inflows continue to come from the United Kingdom, but there is also meaningful traffic from Scandinavia, Poland and Central Europe, including Austria, Germany and Switzerland. Israeli visitors have also become an important source of demand, supported by frequent daily flights and strong booking activity across Cyprus, not just in Famagusta.

October Is Softer, But Last-Minute Bookings Offer Hope

Interest in October is currently around 10% lower than last year, though hotel operators are hoping that late booking behavior will once again help fill rooms. The trend of last-minute reservations has been especially pronounced this year, giving the sector some degree of flexibility late in the season.

Most hotels are expected to close in early November, with a substantial number remaining open until the end of that month. After that, only the traditionally year-round properties, roughly 10 in total, will continue operating.

The Industry Is Betting On 2027

Tourism stakeholders in the region are now focusing on 2027 as a potential turning point for extending the season. Local bodies have already begun coordinating with ETAP and PASYXE Larnaca to increase flight availability at Larnaca Airport during March and November, two months that could materially improve season length and occupancy.

“We have already held one coordination meeting and will continue more intensively in the coming months, with meetings with the Deputy Ministry of Tourism, Hermes Airports and tour operators, in order to extend the season at least for November and March of 2027,” Constantinou said. “There is common ground and a real effort to strengthen Larnaca Airport. We want more flights during those two months, and this is not only about Larnaca and free Famagusta.”

For the region’s hotel operators, the message is clear: after a year shaped by geopolitical uncertainty, the priority is not simply recovery, but a longer and more resilient tourism calendar.

Cyprus Business Electricity Prices Rank Among The EU’s Highest

Electricity prices for a defined group of non-household consumers in Cyprus reached €0.23 per kilowatt-hour in the first half of 2026, placing the country among the most expensive in the EU, according to Eurostat.

The rate matched Italy and exceeded the EU average of €0.18. Ireland recorded the highest price at €0.27 per kilowatt-hour.

The figures cover non-household consumers with annual electricity consumption of between 500 and 2,000 megawatt-hours, rather than all businesses or households.

EU Electricity Prices Continued To Fall

Across the EU, average prices for this consumer group declined by 2% compared with the second half of 2025 and were 5.4% lower year on year.

The lowest rates were recorded in Finland (€0.09 per kWh) and Sweden (€0.12), followed by Denmark, Spain and Portugal, all at €0.13.

Prices Fell In Most Member States

Electricity prices declined year on year in 19 EU countries during the first half of 2026. Luxembourg recorded the largest fall, at 23.8%, followed by Czechia (11.9%) and Greece (11.8%).

Prices increased in eight member states, led by Sweden (18.8%), Finland (18.7%) and Bulgaria (14.2%). Despite the sharp increases, Finland and Sweden continued to have the lowest electricity prices in the bloc.

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