Calamos Supports Greece
GreekReporter.comGreek NewsEconomyThe Decline of Greek Tourism

The Decline of Greek Tourism

Greek tourism revenues have fallen 7-8% in 2010.  Yet early bookings show signs of a recovery next year. Strikes and protests in Greece have kept many tourists away from its beaches and ancient sites this year.  This has hurt the key sector of tourism that makes up about a fifth of the economy, as the country struggles to emerge from a debt crisis.  Experts say that this year was better than expected for the country’s revenues even though Greek tourism had lost 20% of its revenues in the past two years.
Tourism rose 2-3% in August and September after a drop of 1.3% in July, but this was offset by a 10-20% cut in prices to attract tourists. Tourism is very important to Greece since it employs one in five Greeks and its performance is crucial for Greece’s economy.  Greece relies on its ancient monuments and sun drenched islands to bring in visitors and contribute to its economic recovery.
“We’ve reached rock bottom, however we can now expect better days,” said Andreas Andreadis, Vice-President of the Tourism Enterprises Association and Head of the Hoteliers’ Federation. “We’ll see an improvement next year. It might not be big, but it will certainly be an improvement.”
Andreadis said Greece had slashed prices to improve its competitive position against its main rivals; Spain, Turkey and Croatia. A rise in early bookings raised hopes for some recovery next year, provided that this year’s riots and violence were not repeated.  “Greece now shows it’s a country which tries to get back on its feet, it’s more amiable than a year ago,” Andreadis said. “Our prices are a significant advantage. This year proved that when prices fall there is demand.”
Greece’s main private sector union GSEE has said it will not strike in the near future.   Civil servants, whose salaries have been cut by about 15%, plan a 24 hour strike on Oct. 7th which is expected to ground dozens of flights.
“We are cautiously optimistic. If we don’t shoot ourselves in the foot, 2011 will be better,” Andreadis said.

See all the latest news from Greece and the world at Greekreporter.com. Contact our newsroom to report an update or send your story, photos and videos. Follow GR on Google News and subscribe here to our daily email!



Related Posts