Cyprus Tourism Revenue Hits a Record High in 2023
February 16, 2024 · Cyprus · 8 min read
Tourism has long been the backbone of the Cypriot economy and one of the main drivers of the island’s growth.
As a mainstay of the Cypriot economy, tourism continues to drive the island’s growth. According to the latest data from the Cyprus Statistical Service (CYSTAT), Cyprus tourism revenue for January–November 2023 reached nearly €3 billion, surpassing the previous full-year record of €2.68 billion set in 2019.
Amid an economic slowdown, prolonged conflict, and a somber mood across Europe and the wider world, Cyprus has stood out as a haven of stability, peace, and security within Europe. As a result, the island has continued to attract large numbers of visitors in recent years, many multinational companies have moved their headquarters there, and tens of thousands of international students come to Cyprus to study each year.
Tourism growth fuels a buoyant Cyprus property market
Cyprus’s tourism revenue for the first 11 months of 2023 totaled €2.91 billion, up 22.5% year on year. Compared with the whole of 2019, previously the record year for Cyprus tourism, revenue was up 8.6%. In November 2023 alone, tourism revenue reached €113.7 million, compared with €96.4 million in the same month a year earlier, an increase of 17.9%.
Source: CYSTAT
According to the statistics, average spending per tourist was €712.63 in November 2023, compared with €643.38 in November 2022, an increase of 10.8%. Visitors from the United Kingdom, the largest source market at 26.8% of all tourist arrivals in November 2023, spent an average of €71.75 per day, while visitors from Poland (second that month, at 11.8% of arrivals) spent an average of €81.20.
The Cypriot government has focused on promoting tourism in recent years and continues to improve the quality of its infrastructure and services. Real estate and construction accounted for 16% of gross value added (GVA) in 2022. The Cyprus property market picked up in 2023, with prices continuing to rise. According to the latest Q4 2023 data published by RICS and KPMG, apartment and holiday home values in Cyprus rose by more than 7% from the same period of 2022, while rents were up 18% on Q3 2022.
While most European countries saw residential transaction volumes fall compared with the same period of 2022, Cyprus led the way with growth of more than 20%.
Invest in resort property and qualify for permanent residence in Cyprus, an EU member state
Beyond the income potential and capital appreciation that have drawn international investors to Cyprus property for many years, non-EU investors who purchase real estate worth a minimum of €300,000 (approximately US$336,000) may also qualify for permanent residence in Cyprus. There are no education or management experience requirements, and processing takes approximately 12 months. The Cyprus permanent residence permit is granted for an indefinite period; to maintain it, investors need to visit Cyprus at least once every 2 years, among other ongoing conditions. Investors and their families may also become eligible for European citizenship through long-term residence in Cyprus, subject to meeting the other requirements.
Benefits of Cyprus permanent residence:
- Live in Cyprus and invest in Cypriot businesses (this permit does not allow employment in Cyprus), with access to healthcare and social security in line with local rules.
- Investors’ children can attend public school free of charge through the end of upper secondary school and pay lower university tuition than international students. The Cypriot government spends 7% of GDP on education each year, the third-highest share in Europe, and the country is home to several well-regarded universities that appear in global rankings.
- A favorable tax regime: Cyprus is often cited among the more tax-efficient jurisdictions internationally.
- A path to Cypriot citizenship once the requirements are met (Cyprus permits dual citizenship). Cypriot citizens may live in any of the 27 EU member states and have visa-free or eVisa access to 180 destinations, including Canada, Australia, the United Kingdom, and South Korea.
If you are interested in the Cyprus permanent residence program, contact IMM Group or leave your details below. Our experienced advisors will provide detailed guidance and help assess your eligibility and the strength of your application. We are committed to keeping your personal data confidential and will use the information you provide only to advise on your family’s case.
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