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Stek Renews Call For Tougher Action On Illegal Short-Term Rentals

The Association of Cyprus Tourist Enterprises (Stek) has renewed its call for stricter oversight of short-term holiday rentals, arguing that a recent Audit Office report confirms long-standing concerns about weak regulation and enforcement.

Audit Findings Reinforce Long-Standing Concerns

According to Stek, the report exposes significant shortcomings in the supervision of online short-term rental platforms, raising concerns about visitor safety and the reputation of Cyprus’ tourism industry.

“The weaknesses in the supervision and control mechanisms for electronic short-term rental platforms constitute a significant risk to the safety of users and may have a direct negative impact on the credibility and quality of Cyprus’ tourism product,” the association said.

For years, Stek has argued that the existing legal framework has failed both in design and implementation, allowing accommodation providers to operate without the licences required by law.

Calls For A Stronger Regulatory Framework

Maintaining a property register alone is no longer sufficient, the association said. Instead, Cyprus needs a comprehensive system based on inspections, effective supervision and meaningful enforcement to ensure all accommodation providers operate under the same rules and safety standards.

Beyond creating unfair competition for licensed hotels, the rapid expansion of short-term rentals has also increased pressure on housing availability, disrupted residential neighbourhoods and, in some cases, created safety concerns for guests.

Stek welcomed the Deputy Ministry of Tourism’s plans to revise the legislative framework, describing the review as an opportunity to address longstanding weaknesses and bring Cyprus closer to practices already adopted in several European countries.

What Stek Wants To See

Among the proposed measures are systematic inspections, stronger enforcement powers backed by meaningful financial penalties and mandatory registration numbers displayed on all online listings.

Stek also supports closer cooperation between booking platforms and public authorities to remove illegal listings more quickly, as well as introducing a maximum annual rental period for short-term accommodation.

Additional proposals include allowing local authorities to restrict short-term rentals in areas facing housing shortages or excessive tourism pressure, introducing an overnight stay levy and applying common safety, health and insurance standards across all accommodation providers.

Europe Is Tightening Regulation

Pressure for reform is growing across Europe as governments seek to address the impact of short-term rentals on housing affordability and local communities.

Several cities, including Paris, have introduced stricter limits on the number of days primary residences can be rented each year, while EU rules that entered into force in May 2026 require hosts to register properties through a common database, making it easier for authorities to identify illegal listings.

The issue is becoming increasingly significant in Cyprus. Eurostat data show that guests booked 1.71 million overnight stays through online platforms such as Airbnb, Booking and Expedia during the fourth quarter of 2025.

Across the EU, online short-term rental accommodation recorded 144.3 million guest nights in the first quarter of 2026, up 9.7% from a year earlier, highlighting the sector’s continued expansion and the growing focus on stronger regulation.

Cyprus Innovation Leaders Gather For RIF’s Annual The Bash 2026

More than 200 leaders from Cyprus’ research, innovation and entrepreneurship community came together on Tuesday for The Bash 2026, the annual flagship networking event of the Research and Innovation Foundation (RIF).

Held under the theme “Let’s Cheers to Innovation Together!”, the gathering brought into one room the startups, scaleups, investors, academics, business support organisations, public sector representatives and policymakers helping shape Cyprus’ next phase of innovation-led growth.

Building Momentum Through Collaboration

The event opened with remarks from RIF board chairman and Chief Scientist for Research, Innovation and Technology Demetris Skourides, RIF director general Theodoros Loukaidis and Konstantinos Kleovoulou, who represented the Deputy Minister of Research, Innovation and Digital Policy.

Across their speeches, one message was consistent: Cyprus’ innovation story is increasingly being defined by collaboration.

“Cyprus’ innovation ecosystem is growing, maturing and continuously delivering new success stories,” Skourides said. “This is not happening by chance. It is the result of the collective effort and collaboration of everyone who is part of this community.”

He added that RIF remains focused on helping create the conditions needed for the ecosystem to expand further. “As the Research and Innovation Foundation, and personally in my capacity as Chief Scientist, we remain committed to securing the necessary resources and creating the right conditions to further strengthen and support our ecosystem,” he said.

Skourides said The Bash has become a platform where connections turn into commercial and institutional value. “The Bash demonstrates that when the community comes together, new ideas emerge, new partnerships are formed, and the next success stories for Cyprus begin,” he noted.

A More Mature Startup Landscape

Loukaidis pointed to Cyprus’ improved standing in the global startup arena, citing the country’s 39th-place ranking in the StartupBlink Startup Ecosystem Index.

“Today, Cyprus has a much stronger and more mature innovation ecosystem, ranked 39th globally in the StartupBlink Startup Ecosystem Index,” he said. “This achievement is the result of a collective effort involving startups and innovative businesses, investors, incubators and accelerators, knowledge transfer offices, our universities, public sector stakeholders, and the Research and Innovation Foundation, which continuously evolves to better support the ecosystem.”

He said the country is now laying the groundwork for further progress. “Together, we are building the foundations for even greater success,” Loukaidis added.

“Thank you all for being here tonight at The Bash, which has grown into a flagship event, creating opportunities for meaningful networking, new ideas and lasting collaborations,” he said.

Government Signals Continued Support

Representing the deputy minister, Kleovoulou reiterated the government’s commitment to sustaining the sector’s momentum.

“Cyprus today has a dynamic research and innovation ecosystem that continues to grow and create new opportunities,” he said. “The Government remains committed to supporting initiatives that strengthen collaboration and further enhance Cyprus’ research and innovation ecosystem.”

Beyond the networking agenda, the event served as a snapshot of how far Cyprus has come in building a more connected innovation economy. It also highlighted a broader policy truth: in small markets, scale often depends less on size than on coordination among government, universities, research organisations, investors and businesses.

RIF said the strong turnout and energetic atmosphere confirmed The Bash’s role as the annual meeting point for the island’s innovation community, helping generate synergies, partnerships and initiatives with long-term impact.

The event was organised under RIF’s Innovation Factory initiative and formed part of the activities of the Enterprise Europe Network Cyprus.

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