With half of Cyprus' tourists coming from two countries, the industry warns of dependency.

Tourism in Cyprus could be based half on arrivals from the UK and Israel by 2026, according to Haris Papacharalambous, president of the travel agency association ACTTA. The growing number of visitors from Israel is helping to offset declines in European markets, but it increases the island's dependence on the two countries.

At the same time, tourism revenues from January to July were 7% lower than a year earlier, amounting to approximately €1.76 billion. The industry is thus making up some of its earlier losses, but this does not yet mean a return to the record-breaking results of 2025.

Israel compensates for part of Europe's losses

During the ACTTA general assembly held on October 8 in Nicosia, Papacharalambous presented changes to the arrival structure.

According to the data he presented, the number of tourists from European countries decreased by approximately 10% in the first half of 2026. The decline in arrivals from the UK was even greater.

Significantly weaker results were also recorded in two markets that Cyprus is seeking to develop. Arrivals from France fell by 36.5% and from Italy by 33.5%.

Israel is filling some of the gap. This market has seen strong growth over the past three to four months, helping to mitigate the effects of weaker interest from other countries.

Two countries may account for half of arrivals

The President of ACTTA forecasts that if current trends continue, the number of arrivals from Israel will reach approximately 650,000–700,000 in 2026.

Together with the UK, both markets would account for around half of all tourist arrivals to the island. This is a forecast for the entire year, not a final result for 2026.

Papacharalambous pointed out that such high concentration means a renewed reliance on two markets. A similar situation was reportedly observed most recently in 2019.

This is crucial for the industry because a decline in interest in one country cannot always be quickly compensated for by visitors from other destinations. Developing new markets remains important, even if increased arrivals from Israel improve current results.

Cyprus Tourism: Revenues Still Below Last Year

Deputy Minister of Tourism Kostas Koumis emphasized the importance of the actions taken following the March events surrounding the British bases. He highlighted, among other things, the promotion of the island and efforts to maintain air connections.

Data for the first seven months show that tourism revenues amounted to €1.7578 billion. For the same period in 2025, the figure was €1.8911 billion, an increase of approximately €133 million.

The reported decrease of 7% therefore concerns revenues from January to July, not automatically the number of tourists. These two indicators should not be equated: revenues are also influenced by guest spending and the length of their stay.

Poland also remains an important market

In 2025, Poland accounted for 8.2% of tourist traffic in Cyprus. It ranked third behind the United Kingdom and Israel, whose shares were 31.8% and 13%, respectively.

This demonstrates the importance of Polish travellers to the island, although the presented forecast of the share of the two largest markets does not determine Poland's final result in 2026.

Rebuilding arrivals and greater dependence

The growth of the Israeli market is helping Cypriot tourism companies limit losses. At the same time, weaker performance in France, Italy, and some other European markets is hindering the diversification of arrival sources.

A final assessment of the season's results will only be possible once the full year's data is published. However, ACTTA's current forecast indicates that an improvement in the situation may be accompanied by greater reliance on the UK and Israel.

Sources: Philenews, CYSTAT.