Turkish Tourists Flock to Greece Amid Rising Inflation

Inflation has driven hotel prices and travel costs in Türkiye to unprecedented levels, prompting a surge of Turkish tourists to Greece. Turkey experienced a staggering 75.4% inflation rate in May, largely due to soaring costs in hotels, cafes, and restaurants. This economic pressure has made domestic travel unaffordable for many Turks, who now find traveling abroad a more cost-effective option.

The Turkish government’s steps to suppress foreign currency have led to an overvaluation of the lira amidst this inflationary environment. As a result, Turks opt for international travel, where expenses are lower than within their own country. Despite high prices, Turkish hoteliers emphasize that the increases are driven by rising operational costs, not profit maximization.

This crisis extends beyond domestic travel, affecting Turkey's ability to attract foreign tourists. Once a leader in Europe’s Mediterranean tourism market, Türkiye has seen a decline in its competitive edge due to price disadvantages. Occupancy rates in popular Turkish resorts along the Aegean and Mediterranean coasts, typically at 90-95% during peak seasons, have dropped to around 80% this year.

Many Turkish tourists now travel to Greece and the Balkans, where hotel prices are more affordable. The Greek island of Samos, located just 1.6 kilometers from Türkiye, has seen a significant increase in Turkish visitors, with expectations of 100,000 to 150,000 tourists this year compared to 35,000-40,000 last year. The island of Lesbos is also experiencing a boom, drawing tourists with its rich history and scenic beaches.