Hotel bookings in Cyprus for July and August 2026 are averaging approximately 85%, reflecting a notable decline compared to the previous year. Christos Angelides, General Director of the Cyprus Hotels Association (PASYXE), attributed this downturn to increased energy costs resulting from ongoing regional conflicts. Haris Papacharalambous, President of the Association of Cyprus Travel and Tourism Agents (ACTTA), noted that the tourism sector feels the immediate impact whenever regional hostilities escalate. He estimates that the total performance for the year will be 12-14% lower than in 2025, which was considered a record-breaking year for the island's tourism industry.

Despite the overall decline, there has been a recent improvement in booking momentum. Officials noted an increased demand for long weekends, driven largely by last-minute reservations from neighboring countries and the domestic market, which has helped stabilize the current figures. However, uncertainty remains regarding the autumn season. While industry representatives remain hopeful that the market will recover in the coming months, they acknowledged that the future outlook depends on the stability of the surrounding region and energy prices.