Knock-on effect of Arab crisis on tourism

THE CHAIRMAN of the Cyprus Tourism Organisation (CTO) yesterday said there was real danger of local tourism being diversely affected by the crisis in the Arabic world, during discussions on the organisation’s 2011 budget.

CTO chairman Alekos Oroundiotis told the House Finance Committee he feared the crisis could have an effect on the general image of eastern Mediterranean countries.

“We are more concerned about the crisis in the Arabic world than allowing ourselves to be optimistic about an increase in tourist flow to Cyprus,” said Oroundiotis.

The Committee was told that British tourists who planned to go to Egypt for the summer were being advised by travel agents to go to the Canary Islands instead of Cyprus, though the positive side was that Poland and Finland were showing an interest in local tourism.

Regarding the semi-government organisation’s budget (SGO), which was reduced by €18 million compared to the year before, Oroundiotis said this 30 per cent reduction was hindering the CTO’s effort to advertise and promote Cyprus abroad. This, he said, was affecting Cyprus’ collaborations with travel agents abroad.

Committee Chairman, DIKO’s Nicolas Papadopoulos, said the CTO’s budget had the biggest reduction in funds than any other SGO.

“On one hand, we all recognise that funds should be cut for the SGOs, but why has such severity been shown to this vital organisation?” wondered Papadopoulos.

Then, in a clear dig to Deputy Attorney-general Akis Papasavvas and other state officials, he added: “It seems to find the money to pay for teeth implants, Jacuzzis, jets and a room for events at the Presidential Palace, we are cutting funds from one of the most important corner stones of Cyprus’ economy.”