Breaking news

High Occupancy Rates Bolster Cypriot Hotels During Monday Of The Holy Spirit

The annual Monday of the Holy Spirit has significantly boosted occupancy rates in Cypriot hotels, with many establishments reporting fill rates exceeding 80%, and some reaching up to 95%. This influx is primarily driven by domestic tourists, although there is notable participation from international visitors. The festival, set in the summer season, sees temperatures higher than average, making local getaways appealing.

PASYXE mentioned that while current hotel stays are slightly down by 5-10% compared to last year, the industry remains optimistic. The current geopolitical climate, including ongoing conflicts and significant events such as elections and sports tournaments, has influenced tourism trends. However, last-minute bookings are expected to pick up, providing a boost to the sector.

Competitive Landscape

Despite global challenges, Cyprus benefits from issues faced by competing destinations, such as Mallorca, which grapples with the impacts of mass tourism. Cyprus aims to leverage these opportunities by enhancing its tourism offerings and addressing seasonality and quality challenges.

Outbound Tourism

Cypriots are also travelling abroad, with Greece remaining a top destination. Increased connectivity has sparked interest in other European destinations like Italy, France, and Poland.

Industry Uproar Over Reduction in Electric Vehicle Subsidies

The recent move by the government to curtail subsidies for electric vehicles has stirred significant discontent among car importers in Cyprus. The Department of Road Transport (DRT) has slashed available grants under the Electric Vehicle Promotion Scheme as of April 23, leading to a rapid depletion of the subsidy pool and leaving many potential applicants disappointed.

Importers’ Concerns

According to the Cyprus Motor Vehicle Importers Association (CMVIA), the lack of transparency and failure to engage stakeholders prior to the decision have eroded trust in the government’s commitments. Importers now find themselves facing a precarious situation, with substantial stocks of electric vehicles and mounting promotional expenditures.

Public Interest and EU Compliance

Although the scheme aimed to support the transition to zero-emission transport until 2025, the DRT states that the curtailing of funds was necessary to comply with European funding terms, which warned against delays in vehicle deliveries. This decision has fueled market uncertainty despite the application portal experiencing dynamic changes.

Industry’s Ongoing Demand

The CMVIA refutes any claims suggesting waning interest in electric vehicles, underscoring the rapid exhaustion of available grants as proof of substantial demand. They highlight the importance of meeting Cyprus’s green transition targets, including putting 80,000 electric vehicles on roads by 2030.

While the total budget for subsidies saw an increase to €36.5 million in 2023, thanks to additional funding, ongoing difficulties in timely vehicle distribution have led to premature closures of applications. In response, CMVIA has called for urgent dialogue with the Minister of Transport to reassess the decision, fearing that it could endanger the future of e-mobility in Cyprus.

The Future Forbes Realty Global Properties

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter