Published on
January 1, 2026
The hospitality sector in Nicosia is currently undergoing a transformative phase as hotels prepare for the significant influx of international dignitaries. It has been observed that major renovations are being completed to ensure that the city is fully equipped for the EU Presidency. According to Christiana Iacovidou, the president of the Nicosia hoteliers association known as Pasyxe, these properties have been refined to meet the high standards required for the Presidency of the Council of the European Union. Through these efforts, the capital of Cyprus is positioned to showcase its modernization and readiness on a global stage.
Infrastructure Readiness and Institutional Experience
The current state of readiness within the capital city is described as robust and comprehensive. It is noted by Christiana Iacovidou that the hotels located within the city are entirely prepared to welcome the various delegates scheduled to arrive. This preparation is not merely superficial; it is reported that serious renovations have been undertaken across numerous properties to align with the specific needs of such a high-profile diplomatic event.
The confidence expressed by the industry is supported by historical context. It is remembered that Cyprus previously held the rotating EU Presidency during the second half of 2012. Because of this prior engagement, a significant level of institutional experience is possessed by the local hotel sector. The requirements of this European institution are well-understood by the staff and management of these establishments. The primary objective is identified as the successful execution of the presidency, ensuring that all visitors are left with the most positive impressions of the island’s hospitality and organizational capabilities.
The Necessity of a Long-Term Strategic Vision
While the immediate focus is placed on the upcoming months, a broader warning is issued regarding the future of the industry. It is argued by Christiana Iacovidou that the gains achieved during the Presidency of the Council of the European Union might be fleeting if a permanent, long-term tourism strategy is not established for the capital. The current surge in activity is viewed as a temporary lift that must be harnessed into a sustainable model for the future.
In an interview conducted with Xenodochos magazine, the necessity for a coordinated plan involving all industry partners is emphasized. It is suggested that a strategy spanning at least the next five years should be developed. This plan would ideally focus on diversifying the reasons for visiting Nicosia, moving beyond administrative or governmental stays. The development of conference tourism, cultural tourism, and short-term city breaks is highlighted as a path forward for attracting visitors with varied interests.
Enhancing Urban Landscapes and Existing Facilities
A significant portion of the proposed strategy involves the physical improvement of the city itself. The old city of Nicosia is identified as an area that requires urgent intervention. It is stated that this historic district needs to be cleaned and beautified to enhance its appeal to tourists. Furthermore, a clear vision for the future use of this area is requested by industry leaders to ensure it remains a vibrant part of the city’s tourism offering.
The better utilization of existing facilities is also recommended. It is believed that by focusing on infrastructure and the maintenance of current assets, the capital can maintain a steady flow of visitors year-round. This approach is intended to mitigate the seasonal fluctuations that often affect the hospitality industry in the Mediterranean. By creating a cleaner, more attractive urban environment, the city can offer a more compelling narrative to international travelers seeking cultural and historical experiences.
Financial Performance and Future Investment Trends
Reflecting on the economic performance of the sector, it is noted that the year 2025 concluded with results that were largely consistent with those seen in 2024. However, expectations for 2026 are considerably higher. The anticipated growth is attributed primarily to the impact of the EU Presidency, which is expected to drive demand for accommodation and services throughout the year.
The commitment to this growth is evidenced by the significant funds that have already been channeled into property upgrades. These investments have been made by existing hotel owners in anticipation of the high-level meetings scheduled for the next six months. In addition to these upgrades, it is reported that permits have been granted for the construction of entirely new hotel units. These new developments are projected to become operational within the next five-year window, further expanding the capacity of the city’s hospitality market.
Overcoming Structural Challenges in the Capital
Despite the optimism surrounding new investments, the core message remains focused on the structural challenges faced by Nicosia. It is reiterated that without a comprehensive and unified strategy to boost tourism, difficulties in maintaining smooth operations will continue to be faced by all hotels. While major international events provide a temporary boost, the underlying need for a steady, year-round occupancy rate is highlighted as the industry’s greatest hurdle.
The call for action is directed at all stakeholders to ensure that the infrastructure improvements made today do not fall into disuse tomorrow. The success of the EU Presidency is seen as a potential catalyst for a new era in Nicosian tourism, provided that the momentum is maintained through careful planning and continued investment in the city’s unique cultural and commercial identity. Through passive observation and strategic implementation, the goal of transforming Nicosia into a premier city-break destination remains a central priority for the local hoteliers’ association and its members.
